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  • FIRST POST
    • Former MSE Helen
    • By Former MSE Helen 2nd Dec 13, 1:01 PM
    • 2,324Posts
    • 971Thanks
    Former MSE Helen
    MSE News: Government shakes up energy bills what does it mean for you?
    • #1
    • 2nd Dec 13, 1:01 PM
    MSE News: Government shakes up energy bills what does it mean for you? 2nd Dec 13 at 1:01 PM
    "The Government has announced a raft of measures to cut the impact of social and environmental programmes on energy bills..."

    Read the full story:

    Government shakes up energy bills what does it mean for you?




    Click reply below to discuss. If you havent already, join the forum to reply. If you arent sure how it all works, read our New to Forum? Intro Guide.

Page 1
    • VT82
    • By VT82 2nd Dec 13, 3:43 PM
    • 1,040 Posts
    • 878 Thanks
    VT82
    • #2
    • 2nd Dec 13, 3:43 PM
    • #2
    • 2nd Dec 13, 3:43 PM
    Switched to a fix with First Utility in October. It was only about a fiver a year less than an equivalent EDF fixed, and the EDF fix would have had zero exit penalty as well.

    I hope First Utility will also pass on some of the savings, but I doubt it. Should have gone with one of the bigger players really - more moral hazard for them to be seen not 'treating customers fairly' than for one of the small players who rarely make the news.
    • Pincher
    • By Pincher 2nd Dec 13, 3:55 PM
    • 6,516 Posts
    • 2,491 Thanks
    Pincher
    • #3
    • 2nd Dec 13, 3:55 PM
    • #3
    • 2nd Dec 13, 3:55 PM
    Don't see how this affects what I should have done in October 2013. The Scottish Power March 2015 fix will continue to be more or less the cheapest deal for me. In April 2014, switch if there is a cheaper deal; otherwise carry on until March 2015, smiling.
    • lemontart
    • By lemontart 2nd Dec 13, 4:12 PM
    • 5,835 Posts
    • 7,416 Thanks
    lemontart
    • #4
    • 2nd Dec 13, 4:12 PM
    • #4
    • 2nd Dec 13, 4:12 PM
    absolutely nothing as on fixed deal at present
    I am responsible me, myself and I alone I am not the keeper others thoughts and words.
    • Cardew
    • By Cardew 2nd Dec 13, 4:36 PM
    • 27,869 Posts
    • 13,732 Thanks
    Cardew
    • #5
    • 2nd Dec 13, 4:36 PM
    • #5
    • 2nd Dec 13, 4:36 PM
    I still do not know how the 'rebate' will be given back to customers. The various levies are expressed as a percentage of a bill. i.e. 9% of the UK average which is 112.

    For instance Scottish Power say that those on a Fixed tariff 'will only get the 12 WHD rebate'.

    Does that mean that those using 50% of average UK consumption will get 6 rebate, and those using double average UK consumption get 24?

    The only way to achieve that would be a reduction in the kWh price.
    • jazzy
    • By jazzy 2nd Dec 13, 4:54 PM
    • 895 Posts
    • 197 Thanks
    jazzy
    • #6
    • 2nd Dec 13, 4:54 PM
    • #6
    • 2nd Dec 13, 4:54 PM
    What happens to households who have just signed up for a capped and fixed price contract? Will they also be entitled to the 50 reduction?
    • scaredofdebt
    • By scaredofdebt 2nd Dec 13, 5:08 PM
    • 1,291 Posts
    • 640 Thanks
    scaredofdebt
    • #7
    • 2nd Dec 13, 5:08 PM
    • #7
    • 2nd Dec 13, 5:08 PM
    Why don't they just knock VAT off fuel, far simpler surely?
    Make 2018 in 2018 Challenge - Total to date 2,108
    • sheffield lad
    • By sheffield lad 2nd Dec 13, 5:37 PM
    • 1,949 Posts
    • 2,941 Thanks
    sheffield lad
    • #8
    • 2nd Dec 13, 5:37 PM
    • #8
    • 2nd Dec 13, 5:37 PM
    Why don't they just knock VAT off fuel, far simpler surely?
    Originally posted by scaredofdebt


    Except they can't (European rule)


    I think we need to rebalance our views on how expensive fuel is.


    4 per day for the average property as opposed to 7 for a packet of 20 Bensons and the recent rise will now be a massive....


    errr..5.83 per month more. Times are hard and some will struggle but most of us?
  • annodomini2
    • #9
    • 2nd Dec 13, 8:35 PM
    Weak token gesture
    • #9
    • 2nd Dec 13, 8:35 PM
    All this continues to do is have our taxes continue to subsidise big business.

    This cartel need to be held to account.
  • robgoingcrazy
    Not sure how this affects me, as according to British Gas website:

    "The price reduction will take effect from 1 January 2014, and will apply to all customers, whether on variable or fixed tariffs"

    I'm on price protection March 2015, so does that mean my tariff for that will come down in line with any reductions? Sounds like it, but then again...
    • Nada666
    • By Nada666 2nd Dec 13, 11:15 PM
    • 4,868 Posts
    • 3,886 Thanks
    Nada666
    Not sure how this affects me, as according to British Gas website:

    "The price reduction will take effect from 1 January 2014, and will apply to all customers, whether on variable or fixed tariffs"

    I'm on price protection March 2015, so does that mean my tariff for that will come down in line with any reductions? Sounds like it, but then again...
    Originally posted by robgoingcrazy
    What are you not sure about?
  • robgoingcrazy
    What are you not sure about?
    Originally posted by Nada666
    I'm used to small print from companies and government which usually throws up some exception...

    Such as the "insulate your home for free, stay warm and save money" in big flashing lights in my British Gas account, so I click and answer their questions and it says if you are on Working Tax credits you are probably eligible, and only after getting your hopes up do you find out that you only get it if you are ALSO getting disabled benefits or child credits... so if you are a single self employed bloke you can do what I do and acclimatise to 12C in your living room if possible...

    So that's why I don't quite trust the big headlines, until I've had a chance to delve into whether there will be some exception for some reason...
    • Mike108
    • By Mike108 3rd Dec 13, 6:34 AM
    • 1 Posts
    • 0 Thanks
    Mike108
    I singed up for "Online Fixed Price Energy August 2014 (No Standing Charge)" with Scottish Power last year. But I wonder how many consumers know that all companies have now introduced Standing Charges for all customers? It's a new rule from Ofgem.
    In my own case this means I will be pay an extra 96.27!!!
    If you're with Scottish Power and want to see your standing charge rate then login to your account click on "Manage my payments" then click "View my Direct Debit forecast".
    According to Ofgem energy companies can set the standing charge to zero (not SP) so if you know of an electricity tariff (Economy 7) with a zero standing charge then please post a link.
    • Cardew
    • By Cardew 3rd Dec 13, 7:49 AM
    • 27,869 Posts
    • 13,732 Thanks
    Cardew
    I singed up for "Online Fixed Price Energy August 2014 (No Standing Charge)" with Scottish Power last year. But I wonder how many consumers know that all companies have now introduced Standing Charges for all customers? It's a new rule from Ofgem.
    In my own case this means I will be pay an extra 96.27!!!
    If you're with Scottish Power and want to see your standing charge rate then login to your account click on "Manage my payments" then click "View my Direct Debit forecast".
    According to Ofgem energy companies can set the standing charge to zero (not SP) so if you know of an electricity tariff (Economy 7) with a zero standing charge then please post a link.
    Originally posted by Mike108
    Welcome to the forum.

    On your fixed August 2014 tariff you are effectively paying a standing charge as you pay extra for the first 900 (Tier1) units.

    In my area (Midlands) that is an extra 10.327p/kWh so 92.94(24.222p/kwh/13.895p/kWh)

    Ebico have a zero standing charge but would be very expensive for all but very low users.

    SP are normally the cheapest for an Economy 7 tariff.
    Last edited by Cardew; 03-12-2013 at 7:52 AM.
    • Pincher
    • By Pincher 3rd Dec 13, 8:20 AM
    • 6,516 Posts
    • 2,491 Thanks
    Pincher
    I thought we were waiting for the Autumn Statement?

    If this is it, then who will bother to tune in on Thursday?
    • SwanJon
    • By SwanJon 3rd Dec 13, 8:28 AM
    • 2,399 Posts
    • 945 Thanks
    SwanJon
    I hope First Utility will also pass on some of the savings.
    Originally posted by VT82
    I think that the smaller suppliers were already exempt from these charges, but not sure about First Utility - they may be big enough now.
    Checking if the supplier offers the Warm Home Discount is probably a good place to start.
    As above, I'm not 100% sure so it'd be worth double checking.#

    (If the WHD will now be done through the government, does this mean that customers of small suppliers will no be eligable?)
    • 50Twuncle
    • By 50Twuncle 3rd Dec 13, 8:49 AM
    • 9,307 Posts
    • 2,391 Thanks
    50Twuncle
    Will this affect my 135 Warm Homes Discount - which I am supposed to be receiving from my supplier (S.P) by the end of March ?
    If so - how do I ensure that I still receive it ?
    Last edited by 50Twuncle; 03-12-2013 at 8:51 AM.
    • Nada666
    • By Nada666 3rd Dec 13, 8:51 AM
    • 4,868 Posts
    • 3,886 Thanks
    Nada666
    I'm used to small print from companies and government which usually throws up some exception...

    Such as the "insulate your home for free, stay warm and save money" in big flashing lights in my British Gas account, so I click and answer their questions and it says if you are on Working Tax credits you are probably eligible, and only after getting your hopes up do you find out that you only get it if you are ALSO getting disabled benefits or child credits... so if you are a single self employed bloke you can do what I do and acclimatise to 12C in your living room if possible...

    So that's why I don't quite trust the big headlines, until I've had a chance to delve into whether there will be some exception for some reason...
    Originally posted by robgoingcrazy
    I am sure Richie from the Boro will be along to explain why you are a privileged, wealthy ingrate and why only those who already receive help deserve to receive more and those too poor to heat their homes are filthy undeserving scum.

    I suppose the small print with this payback is that the chance of the 50/53 being taken off the standing charge is approximately zero. Instead unit prices will be reduced so those too poor to heat will receive less than those who have enough money to keep their heating on.
    • Nada666
    • By Nada666 3rd Dec 13, 8:55 AM
    • 4,868 Posts
    • 3,886 Thanks
    Nada666
    According to Ofgem energy companies can set the standing charge to zero (not SP) so if you know of an electricity tariff (Economy 7) with a zero standing charge then please post a link.
    Originally posted by Mike108
    Unlike with gas accounts a standing charge makes almost no net difference to electricity bills. And on Economy 7 it is nigh impossible to picture a usage scenario where it makes a difference (other than where properties are not occupied.)
    • MillicentBystander
    • By MillicentBystander 3rd Dec 13, 9:01 AM
    • 3,450 Posts
    • 2,225 Thanks
    MillicentBystander
    I think that the smaller suppliers were already exempt from these charges, but not sure about First Utility - they may be big enough now.
    Checking if the supplier offers the Warm Home Discount is probably a good place to start.
    As above, I'm not 100% sure so it'd be worth double checking.#

    (If the WHD will now be done through the government, does this mean that customers of small suppliers will no be eligable?)
    Originally posted by SwanJon

    Last customer numbers I saw were 190,000 so no obligation to pay green levies just yet. I made the point in another thread that, bizarrely, this decision plays into the hands of the Big 6 and, in actual fact, is working in the exact opposite way to what Ofgem were trying to achieve by allowing more competition from the minnows.
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