Renewal dilemma discussion - What's the best option (fixed or variable) in the current energy market?

Hi @Newbe12 

I would click on the Tariff Information Label link and just check the forecast usage looks reasonable based on your previous usage.

I don't normally like to give recommendations for whether to fix or not.

All i would say is that energy prices are very volatile so fixed rates will give you a huge piece of mind and protection against any dramatic unforeseen price rises. That is important for many people. 

The 1 year fixed rates and 2 year loyalty rates at the moment are pretty close to what industry experts think the price cap will be in October and January. Of course the price cap could go higher or lower than these experts predict , particularly January. I can't personally see prices falling. 

There is the possibility a new prime minister or ofgem the regulator makes further changes, but i doubt these will be material in the short term. 

The other 2 year price cap is obviously expensive given the 2 year loyalty quote.

@Blastoise186  i think looked at some of the wording regarding the loyalty plan. I don't think you actually need to sign up for the £10 boiler cover if you don't want to.

So if piece of mind is important and you worry about energy costs then at least go for the 1 year quote and think about the 2 year loyalty quote. 

Does that help? 

This is my current Tariff.

Day Rate.....31.63p

Night Rate..20.08p

S.T......41.91

This is what OVO are offering me on a fixed Tariff.

Should I or shouldn't I ?

Obviously up to you @Lucky2 although I have seen others offering a fixed tariff (just before the April cap update), without an exit fee

@BPLightlog This is a no exit fee offer

No, I meant from another supplier. On your top post, it says £75 exit fee

No exit fees if you stay with Ovo and move to a different tariff, but they will apply if you leave Ovo

@BPLightlog my concern with staying on a variable tariff is the standing chargers as I've heard they can be as high as 70p a day. 

It's always hazardous to advise someone about selecting a fixed deal or stay with the SVT because anything could happen with the prices going forward. I find it better to point people towards Cornwall Insight who have a good track record of estimating future rates and let people make their own comparison and decision. At the moment there isn't a huge gap between the two and fixed deals are very cautious as the utilities are concerned about significantly undercutting the market and losing out.

https://www.cornwall-insight.com/press/cornwall-insights-final-forecast-for-the-april-price-ca

In the long term energy prices are expected to stay high but competition between the utilities may get them to offer a significantly better fixed deal to attract customers. The only significant deals out there are if you want to charge an EV but then your electric bill is likely to be two to three times your domestic bill and you can also charge in the early hours of the morning.

https://www.thisismoney.co.uk/money/bills/article-12275321/Energy-bills-stay-high-15-years-experts-predict.html

Sorry I can't provide a definite answer as the benefits are marginal and the marketplace is uncertain.

Peter

@BPLightlog I'm not planning on leaving l OVO as they are still the cheapest for economy 7.

There are higher standing charges on the way although there is a thought that these might be reduced again later in the year. 
It is all a bit of a gamble I’m afraid. 
For what it’s worth, I’m not on a fixed tariff (but I’m also not with OVO at the minute)