Comparison sites when your fixed price tarrif is ending
Helpmeoutofthismess
Posts: 411 Forumite
in Energy
Hi, I am desperate to get away from Scottish power, I regretted switching because they made such a mess of it!
My fixed price ends 31/1/18 so even though I'm putting in the actual kWh's used in the last 12 months, my projection for the next 12 months is nearly double as they use 9 months at the standard rate 😡
How can I get a proper calculation? I know gas/elec prices have gone up a lot but last year I spent £896, next years projection is a massive £1519 and the cheapest tarrif will save £160, that's £463 more than I paid last year, surely that can't be right?
H x
My fixed price ends 31/1/18 so even though I'm putting in the actual kWh's used in the last 12 months, my projection for the next 12 months is nearly double as they use 9 months at the standard rate 😡
How can I get a proper calculation? I know gas/elec prices have gone up a lot but last year I spent £896, next years projection is a massive £1519 and the cheapest tarrif will save £160, that's £463 more than I paid last year, surely that can't be right?
H x
0
Comments
-
Use MSE Cheap Energy Club as it shows the Ofgem-mandated calculation* AND a simple ‘this is what you are paying now for 12 months’ compared to ‘this is what you will pay on this tariff for the next 12 months’.
Expect to pay a lot more for your energy: there are no savings to be made at the moment.
* comparisons when you are on a fixed tariff with less than 12 months to run can show a saving along with an increased cost. The comparison is based on a cost projection of 12 months (x months on present tariff plus 12 -x on SVT) which leads to an inflated cost. You then select another fixed tariff which costs less than the inflated cost (hence the saving) but the next fixed tariff costs you more. In fairness to Ofgem, an assumption has to be made about future costs. The methodology is only flawed for consumers on fixed term tariffs with less than 12 months to run. For the 70% of consumers on a SVT, the calculation works and suits Ofgem’s policy of encouraging people to switch.0 -
Use MSE Cheap Energy Club as it shows the Ofgem-mandated calculation* AND a simple ‘this is what you are paying now for 12 months’ compared to ‘this is what you will pay on this tariff for the next 12 months’.
Expect to pay a lot more for your energy: there are no savings to be made at the moment.
* comparisons when you are on a fixed tariff with less than 12 months to run can show a saving along with an increased cost. The comparison is based on a cost projection of 12 months (x months on present tariff plus 12 -x on SVT) which leads to an inflated cost. You then select another fixed tariff which costs less than the inflated cost (hence the saving) but the next fixed tariff costs you more. In fairness to Ofgem, an assumption has to be made about future costs. The methodology is only flawed for consumers on fixed term tariffs with less than 12 months to run. For the 70% of consumers on a SVT, the calculation works and suits Ofgem’s policy of encouraging people to switch.
Thanks for the info but 😱 Should I really be expecting to pay over £450 for the next 12 months 😕
H x0 -
Cost depends on your projected usage and postcode. Have you looked at separate suppliers for gas and electricity: they can often be cheaper than a dual fuel deal?0
-
Helpmeoutofthismess wrote: »Thanks for the info but 😱 Should I really be expecting to pay over £450 for the next 12 months 😕
H x
Consult a comparison site to find the best deal for you.
They all show the annual cost based on the usage figures you provide for the tariffs shown.
(Not to be confused with projected savings, but some comparison services such as the CEC, EHL, etc also allow you to see those based on the historical cost paid, as opposed to the forward cost if you do nothing, which is what I think you are trying to get at in your OP)
0 -
Use MSE Cheap Energy Club as it shows the Ofgem-mandated calculation* AND.....
The Ofgem calculation is on the verge of being removed. I thought it had already stopped being mandatory but I may be wrong.
https://www.ofgem.gov.uk/publications-and-updates/decision-publish-statutory-consultation-enabling-consumer-make-informed-choices-proposed-changes-rules-around-tariff-comparability-and-marketing
https://www.ofgem.gov.uk/publications-and-updates/personal-projection-updated-thinking-way-forward0 -
The Ofgem calculation is on the verge of being removed. I thought it had already stopped being mandatory but I may be wrong.
https://www.ofgem.gov.uk/publications-and-updates/personal-projection-updated-thinking-way-forward
Decision in the Autumn. Ofgem seems to prefer what I would describe as the chaos option. You choose your PCW and it decides on the methodology which then has to be applied consistently across the site.0 -
The final consultation paper is out:
https://www.ofgem.gov.uk/system/files/docs/2017/11/statutory_consultation_-_estimated_annual_costs_for_domestic_consumers.pdf- Suppliers and switching sites can do their own things as long as they are consistent to themselves
- At the end of a fixed term contract they can choose to either assume a move to standard tariffs of quote based on the prices the customer is currently paying
0 - Suppliers and switching sites can do their own things as long as they are consistent to themselves
This discussion has been closed.
Categories
- All Categories
- 343.2K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.7K Spending & Discounts
- 235.3K Work, Benefits & Business
- 608K Mortgages, Homes & Bills
- 173.1K Life & Family
- 247.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards