[Theldron]

Hi,

Hope you are well.

With the new pricing cap coming in in October and my current fixed tariff ending in December, I have been looking at the best thing to do moving forward. I have contacted EON to look at my options and they have recommended when my current tariff expires to go to Next Online V20.

This would put my bill up from £190 a month, to nearly £500 a month, which we cannot afford. I was hoping that I would be able to renew now, before the new cap comes in, but I am not sure if I am able to do this. Could I renew now?

If not and the fixed tariff going up again in April, I think the fixed tariff is the best way to go, unless the new PM can work a miracle. It is really worrying.

My family is on tax credits and though we will get help from the government, it is limited.

Any advice would be appreciated.

[JoeSoap]

@Theldron

This is difficult to answer. The official line seems to be that you can only switch to a new fixed tariff at the end of your current tariff if you are nearer the end of your current fix (the final 45 days, I think). That said, I hear of some getting the offer to fix to the current fixed rate on offer further ahead than that. I hope that makes sense. You should definitely be able to switch to v20 immediately if you choose.

Now, v20 will be a lot more than you are paying now but it might look like a good deal very soon. If you search for something like ‘Should I fix my energy deal’ and find the moneysavingexpert article by Martin Lewis it would suggest that v20 is worth considering.

Read the article fully and carefully and complete the bit near the end where it will advise on how good the fix is you’ve been offered. I would do this as soon as you can as the fixed deals are getting more expensive by the day.

Good luck in your quest and if my reply is confusing then come back and seek more clarification.

[Theldron]

Hi @JoeSoap,

Thanks for your reply it is really appreciated.

I have gone through the Martin Lewis article and filled in the bit at the bottom and at the moment, it is saying the price I have been quoted for the V20 is too expensive 272% more than what I am on now. But that will be after October cap, so then that deal probably won't look so bad. I am hoping I can switch this side of October, but know that is not guaranteed.

Thanks again.

[JoeSoap]

@Theldron

If you’re comparing v20 with your current fix then it will show as astronomically higher. You need to compare it with the current variable rate on offer which is Next Flex. If you search for eonnext tariff search you should find the Next Flex rates available to you.

The comparison will be done by comparing what you will pay on v20 over the next year against what you will pay on the standard variable rate over the next year taking in the October rise and further predicted rises.

The thing is, if you fix now then you lose your current fixed tariff which runs until December. I think you said you could fix to v20 when your current tariff ends on December so if this is the case then that may be a good move.

There’s a lot at stake here and you have lots to consider before making a move. None of us know for sure what’s going to happen and it’s a difficult choice.

You may want to speak to customer services again to see if the offer of switching to v20 at the end of your current fix is definitely available and confirm there would be no exit fees so that you can switch again if something better becomes available.

Good luck with it all.

[Theldron]

Hi @JoeSoap

Ah sorry that was my misunderstanding i've had a look on the V20 against the Flex and it is strongly worth considering.

I will contact EON and see if V20 at the rate they quoted will definately be available and if I can move to a better tariff during the contract. Thanks for all your help again.

[JoeSoap]

@Theldron

Just to reiterate and be more concise, I would be reluctant to relinquish my current fix if I still had a few months left at good rates. If I could get to the end of my current fix and then move to a new current fix at today’s rates, ie v20, then I would strongly consider it.

There are some knowledgeable people on here and some of them choose to stay on the variable and take their chances. In the end we will all end up paying vastly more and as much as we use all the information available to us, we won’t know for a good year as to whether we got it right or not.

Sometimes you just get lucky.

[meldrewreborn]

@Theldron
I would look at the prices of the fuels and consider them against your fuel mix. The shorthand used in the media to try and explain what is happening unintentionally disguises the fact that the price of gas is increasing even faster than the price of electricity, and that needs to be born in mind.

As well as giving up a cheap fix now carrying a significant penalty compared to todays fix, it also mean the new fix will run for a shorter period, which might mean even higher prices when it ends. Also consider that winter heating is mainly over the December - February period, and only one month of that is in your current fix. Its not an easy calculation but you start from a very sound position.