Energy Prices (Strictly NO referrals!)
- Thread starter DXP55
- Start date
Associate
This is my thought of the most likely outcome. The interesting one will be EV products like octopus GO. As my peek rate is almost 40p. But my average usage is less than 20p.
Others in this thread have put it around those figures, not sure if the standing charge is going up though. Will have to wait and see what the details are as just guess work at the min.like this?
Caporegime
Oh crap, I thought we were already at the "2.5k" cap, and we would see no future rises for a while. Gonna be a chilly winter.
like this?
Yeah that looks about right, i think its a fools game to build in the £400 discount when it'll burn out after 6 months. We're very unlikely to get another £400 next year
Associate
So if I signed up to NextOnline V19 not long ago (due to start October 6th), like several of us on here did, EON will automatically just put us onto a fixed tariff at the capped rate or will it be an SVR tariff but at the capped rate?
I think the idea is that the 400 grant through the winter sees us pretty much there
But if the Cap is £2500, the most vulnerable will get £1,200 making their cap effectively £1,300
Not far from where the cap was before this all started...
Benefits are also rising in line with inflation so I'm afraid I don't agree with your sentiment
Has anyone done the maths on "fixed" deals and the new caps?
Unless I mis-read it, if you get onto a fixed deal before the new government cap, it will be retrospectively applied downwards so going for a more expensive fix now, could see it being cheaper after the cap is applied?
Unless I mis-read it, if you get onto a fixed deal before the new government cap, it will be retrospectively applied downwards so going for a more expensive fix now, could see it being cheaper after the cap is applied?
Soldato
Company I work for announced a £1000 one off payment to all staff to contribute.
Seen as we had solar installed a few months ago and our fix is in until June 2024 our energy bills are going to be lower than we are used to until then.
Probably invest the money wisely, and use it to buy another gun.
Seen as we had solar installed a few months ago and our fix is in until June 2024 our energy bills are going to be lower than we are used to until then.
Probably invest the money wisely, and use it to buy another gun.
No they will leave you on NextOnline V19 but adjust the prices in line with the cap.
Soldato
Are they? I haven't seen that confirmed except for pensions.
It’s not. They could have done what Europe are doing and bring in a windfall tax and get those that are making the money, the energy producers, pay for it.
Instead we are going to be paying for these loans for years and years and have artificially high bills for a very long time.
They could have taxed the producers more and given us a cap without charging us for it. But no, business profits must be protected..
It's ok we will get bumper pay rises now for a few years so it's all golden, right?
Well I was talking about next year, but anyway it turns out a document from the secretary of state for business was given to Martin Lewis, and an extract in a tweet showed that the £400 payments might be an annual thing, as well as the means tested COL payments. Not confirmed but if that happens I think thats reasonable, my concern was for 2023 mostly.
Also the same document explains why they went with £2500 cap with £400 instead of £2100 cap, it explains, it was to compensate lighter users with the £400 been a flat amount it means a bigger proportion to lighter users, thats well thought out and kudos to them for that.
Also those on fixed deals will be getting either a penalty free exit or a subsidy to bring them down to the new SVR level. So in my opinion seems some thought has gone into this
Fair point, I hadn't considered that.
Its possible I think given the rumours, Martin has posted some confusing tweets, I think the most likely thing is though the tariffs will be brought down to SVR level, One of the suppliers did a table stating if your fix is below the £2500 there will be no change, so I be surprised if the floor is below the £2500 unit rates for the subsidy.
I think the fixes available now though are too high to get down to below the new SVR. Those ones that are within 25% of April cap seem long gone. It will be interesting if the trackers get the subsidy, then would be SVR capped with dips on cheaper wholesale days. (and cheaper SC on agile 2018).
Soldato
You know that we already have. 25% windfall tax right? oil and gas producers pay the regular corporation tax, plus an extra 10%, plus the 25% windfall tax. The current windfall tax is expected to generate £5bn in its first year, it would be more but as ever there are some rebates.
Sunnak looked into extending this windfall fall tax to include electricity producers e.g. E.ON, but it seems Truss has ruled this out. It would have generated up to £4bn.
as puzzled said standing charge wasn't planned to be increasing in October, so it is the unit price increase that will take the total up to 2.5Klike this?
=> ~£260 for total sc + 12K*.1+2.9K*0.36 = £2.5K
.... don't forget EU windfall tax plan is capping their electric at £200/MWhr .... so they'll be getting 20p electric unit ... only slightly more expensive here.
e: if the damn gas/electric blackouts are as bad as the 2 hour water cuts we have had again this evening in Cambridgeshire ,
you have to re-organise your life time shifting eating and washing several hours - good practice I suppose
Man of Honour
£2.85B to renationalise retail supply, maybe. But that's not the cause of the problem. The cause of the problem is further back in the chain. Extraction of materials, refining, wholesale supply, generation of electricity. Also the way the market is rigged to ensure maximum profits for electricity generation businesses. The whole system is set up to funnel money from the many to the few at every step. Fixing it would require nationalising the whole chain, not just the final link of businesses selling to the public. That would cost a lot more than £2.85B.
What might be possible would be for the state to undercut the existing system by becoming a significant energy generator itself and accepting a smaller profit margin or even taking the radical step of doing its bloody job properly and providing a service to the nation rather than seeking profit. Take taxes, build power stations itself, sell the electricity to homes and businesses. It would be easy to undercut the existing system on price, since the existing system exists for the purpose of funneling as much money as possible to as few people as possible.