Fix Electricity at (estimated) £56 p/m or stay on variable?

[voicesfree]

OVO have emailed me and sent me letters advising about the price for energy dropping as of April, and seem to be strongly advising me to swap to a fixed plan for the next year.

The estimated cost is £56, which is around £10 below their current estimated cost for me.

I’m sure other people are in a similar situation, so what do you plan to do? Will you stay on a variable plan and see how prices change, or lock into a price for the next year?

 

[ashdorkable]

@voicesfree The money saving expert web site has a good guide on this topic.

 

[metsfan5976]

@voicesfree We pay much more than you. Our option is to wait it out. Saying that, I am seeing a lot of them pushing now for fixed offers so perhaps some will start offering really good deals soon.

 

[itspt95]

@voicesfree I would be wary of relying on the estimated monthly cost to compare, unless you are certain that they have been calculated in the same way.

A far more transparent comparison would be to look at the unit rates and standing charges. You can then work out your own estimated costs to compare (using the actual amount of energy you have used over the past year - this should be on your bills, or if you have a record of meter readings it can be calculated from them).

This MSE guide is regularly updated and goes into all the key points: https://www.moneysavingexpert.com/u...-cheap-fixed-energy-deals-currently-worth-it/

 

[voicesfree]

@itspt95 My current rates are 30.55 for day, 20.80 for night.

The new fixed rate would be 26.06 and 26.59.

But the standing charge goes up from 47.58 to 63.65, so it’s annoying they reduce the rates and then just up the daily charge.

 

[fmcgvo]

@voicesfree Stay on variable. Energy companies always overestimate the cost of a flex tariff to try and get you on a fix at a higher than current rate price.

 

[ghaynes]

@voicesfree What are your current tariff rates? And what is OVO offering?

Have you looked at other suppliers?

 

[voicesfree]

@ghaynes I put my rates and what they’re offering in a response to another comment. It’s a minor drop but higher standing charge.

I’ve had a look at a few different suppliers and everyone is more expensive.