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  • FIRST POST
    • MSE Andrew
      Verified User verified user
    • By MSE Andrew Verified User verified user 2nd Mar 18, 4:24 PM
    • 116Posts
    • 32Thanks
    MSE Andrew
    MSE News: E.on to hit customers...
    • #1
    • 2nd Mar 18, 4:24 PM
    MSE News: E.on to hit customers... 2nd Mar 18 at 4:24 PM
    Households on E.on's standard variable tariff will see their energy bills rise by an average of £22/year after the big six firm announced a series of changes to the way it charges customers...
    Read the full story:
    'E.on to hit customers with backdoor price hike next month'


    Click reply below to discuss. If you haven't already, join the forum to reply.
    Last edited by MSE Luke; 05-03-2018 at 11:31 AM.
Page 1
  • E.ON Company Representative: Malc
    • #2
    • 2nd Mar 18, 4:59 PM
    E.ON Tariffs
    • #2
    • 2nd Mar 18, 4:59 PM
    Afternoon all. I've just posted about this on another thread as below.

    http://forums.moneysavingexpert.com/showthread.php?t=5803579

    Hope it's of interest.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
    • Michaelw
    • By Michaelw 2nd Mar 18, 5:13 PM
    • 257 Posts
    • 76 Thanks
    Michaelw
    • #3
    • 2nd Mar 18, 5:13 PM
    • #3
    • 2nd Mar 18, 5:13 PM
    Unfortunatly we are more likely to see more of this.,rising standing charges,scapping of discounts and more use of smart technology to increase costs and changes to terms and conditions.Like sheep the others will follow.
    • matelodave
    • By matelodave 2nd Mar 18, 5:23 PM
    • 4,530 Posts
    • 2,895 Thanks
    matelodave
    • #4
    • 2nd Mar 18, 5:23 PM
    • #4
    • 2nd Mar 18, 5:23 PM
    Probably accelerated by the energy price cap - some else has to pay instead.
    Never under estimate the power of stupid people in large numbers
    • fredandwilma
    • By fredandwilma 2nd Mar 18, 6:34 PM
    • 1,217 Posts
    • 1,661 Thanks
    fredandwilma
    • #5
    • 2nd Mar 18, 6:34 PM
    • #5
    • 2nd Mar 18, 6:34 PM
    Looking on E.on's website, whilst they are scrapping a total of £25 in Duel Fuel Discounts and Paperless Billing - they are replacing with this on their SVT:-

    Price Change Pending

    These details are effective from 19/04/2018. If your tariff starts before this date you will be billed on our current rates and discounts until then. This means if you pay by fixed monthly Direct Debit you'll get a £35 reduced standing charge per fuel. From 19/04/2018 this will increase to £45 per fuel per year.
    If i read this correctly, in actual fact, if you pay by Direct Debit, you will receive a £45 reduction to your standing charge per fuel per year, (£90 per year) which is an increase in £10 per fuel per year, £20 a year in total, leaving a shortfall in savings / discounts of £5 per year. As long as you pay by Direct Debit, that is. Which includes those on SVT's per quote above.

    For those on fixed tariffs:

    Simpler Discounts

    There will be no paperless billing or dual fuel discounts with this tariff, however if you pay by fixed monthly Direct Debit you will receive a £45 reduction to your standing charge per fuel per year
    The majority of tariffs will receive the discount as long as they pay by monthly DD.

    The current DD discount is a £35 reduction to your standing charge per fuel per year.

    It's a simpler discount or an attempt to encourage people to pay by Direct Debit?
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
  • archived user
    • #6
    • 2nd Mar 18, 6:52 PM
    • #6
    • 2nd Mar 18, 6:52 PM
    Looking on E.on's website, whilst they are scrapping a total of £25 in Duel Fuel Discounts and Paperless Billing - they are replacing with this on their SVT:-



    If i read this correctly, in actual fact, if you pay by Direct Debit, you will receive a £45 reduction to your standing charge per fuel per year, (£90 per year) which is an increase in £10 per fuel per year, £20 a year in total, leaving a shortfall in savings / discounts of £5 per year. As long as you pay by Direct Debit, that is. Which includes those on SVT's per quote above.

    For those on fixed tariffs:



    The majority of tariffs will receive the discount as long as they pay by monthly DD.

    The current DD discount is a £35 reduction to your standing charge per fuel per year.

    It's a simpler discount or an attempt to encourage people to pay by Direct Debit?
    Originally posted by fredandwilma
    Response from the E.oN rep on another thread:

    From yesterday, customers switching to our tariffs will no longer receive a discount for having both their electricity and gas with us or a paperless billing discount. Customers on our standard variable tariffs (SVT), Energy Plan and Energy Plan Assist, will stop receiving this discount from 19 April 18.

    Also, customers paying by any other means than a Monthly Direct Debit will see daily standing charges go up by about £10 per fuel per year. Again, for customers on our SVTs, this will start from 19 April 18. There are no changes to the daily standing charges for customers paying with a Monthly Direct Debit.
    • fredandwilma
    • By fredandwilma 2nd Mar 18, 8:05 PM
    • 1,217 Posts
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    fredandwilma
    • #7
    • 2nd Mar 18, 8:05 PM
    • #7
    • 2nd Mar 18, 8:05 PM
    Response from the E.oN rep on another thread:

    From yesterday, customers switching to our tariffs will no longer receive a discount for having both their electricity and gas with us or a paperless billing discount. Customers on our standard variable tariffs (SVT), Energy Plan and Energy Plan Assist, will stop receiving this discount from 19 April 18.
    Which is what i said.

    Also, customers paying by any other means than a Monthly Direct Debit will see daily standing charges go up by about £10 per fuel per year. Again, for customers on our SVTs, this will start from 19 April 18. There are no changes to the daily standing charges for customers paying with a Monthly Direct Debit.
    Originally posted by Hengus

    Which would mean an increase of 0.0273972603 per fuel, per day, in daily standing charges.

    I don't ever remember a variation in E.on's standing charges, or standing charges between tariffs, (or it's longer than i can remember).

    Are you sure that £10 isn't mistaken with the extra £10 to be saved by paying by DD from 19/04/18, which is the information provided on the E.on website so far?

    There is no mention of a rise in daily standing charges.

    After all, it's just a news story with very little information or confirmation at the moment.
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
  • archived user
    • #8
    • 2nd Mar 18, 8:46 PM
    • #8
    • 2nd Mar 18, 8:46 PM
    Discounts are always taken off the Daily Standing charge. Standing charges have never been fixed even on fixed contracts. For example, many suppliers remove a discount if a consumer breaches the contract. The loss of the discount is reflected in a higher standing charge.

    This is what an E.oN spokesman is saying to BBC News:

    A spokeswoman for E.On emphasised that the firm had "made no changes" to the prices it was charging for electricity and gas units.

    It said the increase in customers' bills was due to the removal of some of the discounts currently offered to customers for paperless billing and using both electricity and gas.

    "We believe this will make it simpler and easier for customers to understand our tariffs and compare them with other suppliers in the market, the majority of whom do not offer these discounts," the spokeswoman added.

    The firm has also increased its standard charge for customers who pay their bills by cash or cheque to £10 per fuel per year.

    If E.oN had actually wanted to level the playing field, they could just have removed the discount AND reduced the standing charge to keep billing unchanged. This I am afraid looks like a price increase; it quacks like a price increase, and it is a price increase even if E.oN would like to suggest it is being done for other reasons.
    Last edited by Hengus; 02-03-2018 at 8:50 PM.
    • Heng Leng
    • By Heng Leng 3rd Mar 18, 1:37 AM
    • 4,756 Posts
    • 1,561 Thanks
    Heng Leng
    • #9
    • 3rd Mar 18, 1:37 AM
    • #9
    • 3rd Mar 18, 1:37 AM
    Probably accelerated by the energy price cap - some else has to pay instead.
    Originally posted by matelodave
    Or they could have simply have been planning it for a while to reduce their headline prices.
    • fredandwilma
    • By fredandwilma 3rd Mar 18, 7:26 AM
    • 1,217 Posts
    • 1,661 Thanks
    fredandwilma
    Response from the E.oN rep on another thread:

    From yesterday, customers switching to our tariffs will no longer receive a discount for having both their electricity and gas with us or a paperless billing discount. Customers on our standard variable tariffs (SVT), Energy Plan and Energy Plan Assist, will stop receiving this discount from 19 April 18.

    Also, customers paying by any other means than a Monthly Direct Debit will see daily standing charges go up by about £10 per fuel per year.
    Again, for customers on our SVTs, this will start from 19 April 18. There are no changes to the daily standing charges for customers paying with a Monthly Direct Debit.
    Originally posted by Hengus
    Discounts are always taken off the Daily Standing charge. Standing charges have never been fixed even on fixed contracts. For example, many suppliers remove a discount if a consumer breaches the contract. The loss of the discount is reflected in a higher standing charge.

    This is what an E.oN spokesman is saying to BBC News:

    A spokeswoman for E.On emphasised that the firm had "made no changes" to the prices it was charging for electricity and gas units.

    It said the increase in customers' bills was due to the removal of some of the discounts currently offered to customers for paperless billing and using both electricity and gas.

    "We believe this will make it simpler and easier for customers to understand our tariffs and compare them with other suppliers in the market, the majority of whom do not offer these discounts," the spokeswoman added.

    The firm has also increased its standard charge for customers who pay their bills by cash or cheque to £10 per fuel per year.

    If E.oN had actually wanted to level the playing field, they could just have removed the discount AND reduced the standing charge to keep billing unchanged. This I am afraid looks like a price increase; it quacks like a price increase, and it is a price increase even if E.oN would like to suggest it is being done for other reasons.
    Originally posted by Hengus

    Increase in the Daily Standing Charge versus a £10 Standard Charge for customers who pay their bills by cash or cheque? Which is it to be? Is it a rise in Standing Charges or a loss of discount if you don't pay by Direct Debit? You can't lose something you didn't have already.

    You will still get a discount (an extra £10 per fuel) on the daily standing charges if you pay by Direct Debit. It's an initiative to encourage customers to pay by DD as far as i can see. If you pay by DD, you are still going to get almost the same discount as you were previously, but in a alternative price restructuring, IYSWIM.


    There are no changes to the daily standing charges for (any) customers paying with a Monthly Direct Debit, going on the information provided by E.on so far, re changes from the 19th April, which is clearly stated with each tariff on their website.
    Last edited by fredandwilma; 03-03-2018 at 7:31 AM.
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
  • archived user


    There are no changes to the daily standing charges for (any) customers paying with a Monthly Direct Debit, going on the information provided by E.on so far, re changes from the 19th April, which is clearly stated with each tariff on their website.
    Originally posted by fredandwilma
    To avoid any further confusion, the changes relate to customers on E.oN's SVTs. A more comprehensive breakdown of the changes is here:

    https://blog.energyhelpline.com/sshock-e-standard-price-rise-50-year-4-2-19-april-causing-average-22-bill-increase-year-approx-2/
    • fredandwilma
    • By fredandwilma 3rd Mar 18, 9:25 AM
    • 1,217 Posts
    • 1,661 Thanks
    fredandwilma
    To avoid any further confusion, the changes relate to customers on E.oN's SVTs. A more comprehensive breakdown of the changes is here:

    https://blog.energyhelpline.com/sshock-e-standard-price-rise-50-year-4-2-19-april-causing-average-22-bill-increase-year-approx-2/
    Originally posted by Hengus

    This was taken from E.on's SVT tariff yesterday. The website is currently down. Who knows if it will be changed?:-


    Price Change Pending

    These details are effective from 19/04/2018. If your tariff starts before this date you will be billed on our current rates and discounts until then. This means if you pay by fixed monthly Direct Debit you'll get a £35 reduced standing charge per fuel. From 19/04/2018 this will increase to £45 per fuel per year.
    In reality, the people who will see price increases are those who don't / won't / can't pay by Direct Debit.

    This fact has been omitted by the scanty news / information provided by the media so far, including from the above link.

    To reiterate - For anyone wishing to avoid the E.on alleged price increases (of which we currently have no firm evidence / confirmation,) pay by Direct Debit to benefit from the alternative discount offered by way of price / discount restructuring.

    There is little more to say until E.on themselves confirm their new tariff charges.
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
  • archived user
    This was taken from E.on's SVT tariff yesterday. The website is currently down. Who knows if it will be changed?:-




    In reality, the people who will see price increases are those who don't / won't / can't pay by Direct Debit.

    This fact has been omitted by the scanty news / information provided by the media so far, including from the above link.

    To reiterate - For anyone wishing to avoid the E.on alleged price increases (of which we currently have no firm evidence / confirmation,) pay by Direct Debit to benefit from the alternative discount offered by way of price / discount restructuring.

    There is little more to say until E.on themselves confirm their new tariff charges.
    Originally posted by fredandwilma
    In the link above, there is a table given to the PCW by E.oN. I am not sure that EnergyHelpline is mis-reporting what is a price increase for many of E.oN’s customers. That said, I accept that other media reports may just be piggy-backing onto EnergyHelpLine’s blog.
    • newship
    • By newship 3rd Mar 18, 10:04 AM
    • 7 Posts
    • 3 Thanks
    newship
    I'm off
    Switched away on Friday, This, on top of their letter trying to force smart meters on us via their hired thugs. Not a mention of our rights to refuse. No way eon stuff your tariffs and smart junk meters. Their website down this morning,cannot log in , I wonder why.
    • fredandwilma
    • By fredandwilma 3rd Mar 18, 11:03 AM
    • 1,217 Posts
    • 1,661 Thanks
    fredandwilma
    In the link above, there is a table given to the PCW by E.oN. I am not sure that EnergyHelpline is mis-reporting what is a price increase for many of E.oN’s customers. That said, I accept that other media reports may just be piggy-backing onto EnergyHelpLine’s blog.
    Originally posted by Hengus

    EHL or anyone else for that matter, publishing those tables is of no consequence whatsoever, without concrete facts?

    The fact is, E.on
    I can confirm this Hengus. We've reviewed the structure of our tariffs and made changes to our discounts and daily standing charges. We've made no changes, though, to our unit rates.

    From yesterday, customers switching to our tariffs will no longer receive a discount for having both their electricity and gas with us or a paperless billing discount. Customers on our standard variable tariffs (SVT), Energy Plan and Energy Plan Assist, will stop receiving this discount from 19 April 18.

    Also, customers paying by any other means than a Monthly Direct Debit will see daily standing charges go up by about £10 per fuel per year. Again, for customers on our SVTs, this will start from 19 April 18. There are no changes to the daily standing charges for customers paying with a Monthly Direct Debit.

    Customers currently on Fixed Tariffs won't see any changes until the end of their term.

    Malc
    Originally posted by E.ON Company Representative: Malc

    The fact is, E.on have already introduced (1st March) tariffs, where customers will no longer received a discount for having both their electricity and gas with E.on or a paperless billing discount.

    However they replaced the discounts on those tariffs, with an extra £10 discount per fuel, per year for standing charges, (from £35 to £45) for those paying by Direct Debit. The same discount applies to the SVT from the 19th April for those paying by Direct Debit, according to the information given about that tariff, by E.on on their website.

    It's said there are no changes to the daily standing charges for customers paying with a Monthly Direct Debit, however there is no mention of the extra £10 per fuel per year discount on standing charges for those paying by DD, which has risen from £35 to £45 discount, per fuel.

    Those are currently the only 'facts' available in black and white from E.on, not via a third party.

    The ambiguity is how they will introduce these alleged "backdoor price hikes" to substantiate the figures produced on these tables, presumably for people who don't pay by DD, which no one can yet, confirm?

    It's only half a story, as yet......................
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
  • E.ON Company Representative: Malc
    E.ON Tariffs
    Looking on E.on's website, whilst they are scrapping a total of £25 in Duel Fuel Discounts and Paperless Billing - they are replacing with this on their SVT:-



    If i read this correctly, in actual fact, if you pay by Direct Debit, you will receive a £45 reduction to your standing charge per fuel per year, (£90 per year) which is an increase in £10 per fuel per year, £20 a year in total, leaving a shortfall in savings / discounts of £5 per year. As long as you pay by Direct Debit, that is. Which includes those on SVT's per quote above.

    For those on fixed tariffs:



    The majority of tariffs will receive the discount as long as they pay by monthly DD.

    The current DD discount is a £35 reduction to your standing charge per fuel per year.

    It's a simpler discount or an attempt to encourage people to pay by Direct Debit?
    Originally posted by fredandwilma
    Increase in the Daily Standing Charge versus a £10 Standard Charge for customers who pay their bills by cash or cheque? Which is it to be? Is it a rise in Standing Charges or a loss of discount if you don't pay by Direct Debit? You can't lose something you didn't have already.

    You will still get a discount (an extra £10 per fuel) on the daily standing charges if you pay by Direct Debit. It's an initiative to encourage customers to pay by DD as far as i can see. If you pay by DD, you are still going to get almost the same discount as you were previously, but in a alternative price restructuring, IYSWIM.


    There are no changes to the daily standing charges for (any) customers paying with a Monthly Direct Debit, going on the information provided by E.on so far, re changes from the 19th April, which is clearly stated with each tariff on their website.
    Originally posted by fredandwilma
    EHL or anyone else for that matter, publishing those tables is of no consequence whatsoever, without concrete facts?

    The fact is, E.on



    The fact is, E.on have already introduced (1st March) tariffs, where customers will no longer received a discount for having both their electricity and gas with E.on or a paperless billing discount.

    However they replaced the discounts on those tariffs, with an extra £10 discount per fuel, per year for standing charges, (from £35 to £45) for those paying by Direct Debit. The same discount applies to the SVT from the 19th April for those paying by Direct Debit, according to the information given about that tariff, by E.on on their website.

    It's said there are no changes to the daily standing charges for customers paying with a Monthly Direct Debit, however there is no mention of the extra £10 per fuel per year discount on standing charges for those paying by DD, which has risen from £35 to £45 discount, per fuel.

    Those are currently the only 'facts' available in black and white from E.on, not via a third party.

    The ambiguity is how they will introduce these alleged "backdoor price hikes" to substantiate the figures produced on these tables, presumably for people who don't pay by DD, which no one can yet, confirm?

    It's only half a story, as yet......................
    Originally posted by fredandwilma
    Hello fredandwilma and thought I'd confirm some of the details I mentioned last week concerning recent changes to the structure of our tariffs.

    I can confirm, customers paying with Monthly Direct Debits won't see any changes to either their daily standing charges or unit prices at this time. They'll continue to receive savings compared with customers paying by other means.

    Hope this explains. Let me know if you need any more details as happy to help.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
    • fredandwilma
    • By fredandwilma 6th Mar 18, 3:39 PM
    • 1,217 Posts
    • 1,661 Thanks
    fredandwilma
    Hello fredandwilma and thought I'd confirm some of the details I mentioned last week concerning recent changes to the structure of our tariffs.

    I can confirm, customers paying with Monthly Direct Debits won't see any changes to either their daily standing charges or unit prices at this time. They'll continue to receive savings compared with customers paying by other means.

    Hope this explains. Let me know if you need any more details as happy to help.

    Malc
    Originally posted by E.ON Company Representative: Malc
    Which was what i was trying to say as i understood the information provided by E.on, so far.....

    Customers will take only a £5 hit, after the changes, if they pay by DD, a fact which has been omitted by the (non) news stories.

    Far from me to stand up for an energy supplier but i think sources have been economic with facts.

    The fact is, (at the moment, even with the changes,) if you take any tariff and pay by monthly DD, you will be £5 per year, worse off, which is some distance away from the MSE news article which says :-

    A dual-fuel customer on E.on's standard Energy Plan tariff who pays by monthly direct debit is already paying an average £1,123/yr, based on typical use – much more than the market's cheapest. But the changes will see this rise to £1,153/yr from 19 April, while those paying by quarterly cash or cheque could end up paying an extra £50/yr.
    That's a £30 a year increase for customers paying by DD, when it's actually a £5 year increase?

    Technically, those paying by quarterly cash or cheque aren't going to lose what they weren't getting in the first place or could receive if they changed their payment method, unless daily standing charges increase, which is what the article infers.

    I wonder where they get their figures from..............

    It's all about 'Rewards' restructuring and i certainly wouldn't call them 'Backdoor Price Hikes', thus far.
    Fred - Where's your get up and go?

    Barney - It just got up and went.



    Carpe diem
    • Ectophile
    • By Ectophile 7th Mar 18, 7:21 PM
    • 3,656 Posts
    • 2,374 Thanks
    Ectophile
    Well, I got the dreaded letter from E-ON today. I had a read of it and found that my bill was going ... down by £10 per year.

    And there I was wondering who I was going to switch to.
    If it sticks, force it.
    If it breaks, well it wasn't working right anyway.
    • boatman
    • By boatman 8th Mar 18, 11:07 AM
    • 4,160 Posts
    • 2,941 Thanks
    boatman
    I presume any E-on customers will move to paper billing, just out of spite!!
  • E.ON Company Representative: Malc
    E.ON Tariffs
    Which was what i was trying to say as i understood the information provided by E.on, so far.....

    Customers will take only a £5 hit, after the changes, if they pay by DD, a fact which has been omitted by the (non) news stories.

    Far from me to stand up for an energy supplier but i think sources have been economic with facts.

    The fact is, (at the moment, even with the changes,) if you take any tariff and pay by monthly DD, you will be £5 per year, worse off, which is some distance away from the MSE news article which says :-



    That's a £30 a year increase for customers paying by DD, when it's actually a £5 year increase?

    Technically, those paying by quarterly cash or cheque aren't going to lose what they weren't getting in the first place or could receive if they changed their payment method, unless daily standing charges increase, which is what the article infers.

    I wonder where they get their figures from..............

    It's all about 'Rewards' restructuring and i certainly wouldn't call them 'Backdoor Price Hikes', thus far.
    Originally posted by fredandwilma
    Hello fredandwilma and you're right.

    The impact of these changes will vary depending on how customers pay for their energy, if they have dual or single fuel accounts and whether or not they've opted for paperless billing. Just to confirm, customers paying with Monthly Direct Debits won't see any changes to either their daily standing charges or unit prices at this time. They'll continue to receive savings compared with customers paying by other means.

    Thanks fredandwilma.

    Malc
    Official Company Representative
    I am an official company representative of E.ON. MSE has given permission for me to post in response to queries about the company, so that I can help solve issues. You can see my name on the companies with permission to post list. I am not allowed to tout for business at all. If you believe I am please report it to forumteam@moneysavingexpert.com This does NOT imply any form of approval of my company or its products by MSE"
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