2025 Budget £150 energy bill discount

If you’ve not received the email/letter yet there’s a 99% chance you’re in later waves or batches and should get it soon. As much as OVO would like to just blast the entire lot out at once, there’s limits on email infrastructure such as rate limiting which means they have to send them out in smaller chunks.

This is unfortunately way beyond OVO’s control as it’s upstream from them.

My notification email turned up last night, so at last I can check how it’s calculated. Mine is an Extended Fixed plan expiring in August this year 😟

(a)  The ‘estimated annual costs’ use the same basis as the Direct Debit calculator, but the Future Annual Consumption figure is two weeks out of date. This is clear from the ‘current estimated annual costs’, and explains why I couldn’t reconcile things earlier.
(b)  In order to arrive at the same ‘new estimated annual costs’, given an unchanged Standing Charge, I have to deduct precisely 3.34p from the current unit rate. The monthly balances for the next 13 months are then reproduced to the penny by my simulator.
(c)  The cost of the Renewables Obligation was indeed revised in February, with the result that 75% of it due to be removed from electricity bills fell from 2.4795 to 2.4546 p/kWh. Given a bit of rounding for simplicity, the final reduction to bills is 3.34 p/kWh and not the 3.37 p we’d originally hoped for. 
  

[EDIT for clarity]

The figures given above are ex VAT. Some communications from suppliers may include VAT, others not, and rounding may vary. This is what I reckon the VAT inc numbers should be: 

Electricity: 3.34514 + 5% = 3.512397, rounded to 3.51 p/kWh inc VAT
Gas: 0.314765 + 5% = 0.330503, rounded to 0.33 p/kWh inc VAT.

Just a  reality check here - Shouldn’t that reduction to the gas rate be 0.32 p ?

(My current unit rate for gas is 5.64 p/kWh, so a reduction of 3.2p would more than half my gas bill).

EDIT - I just read the email from OVO which estimates a £86.86 yearly saving for me, which is spookily close my own calculation of a £86.52 saving, for which i had used a 3.37p reduction in my electricity rate and a 0.31p reduction in my gas rate.
(Until OVO comfirm my new rates I’m assuming that the difference is simply the FAC that each of us used).

Yes - you’re correct of course - the reduction is 0.32 p. I pay little attention to gas these days as it’s only our gas hob in use.