The energy crisis

[tweetiepooh]

I wish that our new boiler replaced a really old cruddy one but the old one was pretty efficient just getting to that age where spares where getting hard/impossible to find.


Trying to get to BG to cancel our service cover as new boiler doesn't really need it. Odd pricing - cover boiler, heating, plumbing, electrics, drains is around £36/month. Remove the boiler (and heating) and it's £85. Tried to cancel on-line but need to phone them, phone them - we are only dealing with emergencies use on-line.

Originally Posted by Jaymoss

So we get £200 to cover the price rise we are going to see in October anyway and have to pay it back? does nothing for the shock of this price rise

The CT rebate I will not see as I get most of it paid anyway unless that comes off the bit I do have to pay

You will see your overall council tax bill reduce by £150, so if you’re paying anything towards it at all you will see that amount reduce. Precisely how much will depend on whether the council tax benefit %age is calculated on the amount initially demanded by the council or the amount actually owing after the discount.

The £200 reduction in October is a response to the present cap increase. Having taken these measures today, I think Sunak has made it politically impossible for him not to act again in the event of a further crippling rise in the cap in October. But we will have to wait and see.

[Halcyon]

So it looks like this will be happening:

1. The vast majority of households will be given £350 - just over half the amount energy bills are expected to increase annually.

All households? Everyone?

1. All electricity customers will receive a £200 discount from October on bills. The government will meet the cost in full. This will have to be repaid by customers in equal £40 instalments over the next five years
   
   What about if I have dual fuel? Everyone?

1. A £150 council tax rebate to help with the cost of energy in April - This won’t need to be repaid.

No doubt that will only be for those on low incomes.

[1andrew1]

Originally Posted by Halcyon

So it looks like this will be happening:

1. The vast majority of households will be given £350 - just over half the amount energy bills are expected to increase annually.

All households? Everyone?
See below

1. All electricity customers will receive a £200 discount from October on bills. The government will meet the cost in full. This will have to be repaid by customers in equal £40 instalments over the next five years
   
   What about if I have dual fuel? Everyone?

I think it's £200 to each household that pays for energy.

1. A £150 council tax rebate to help with the cost of energy in April - This won’t need to be repaid.

No doubt that will only be for those on low incomes.

The £150 will not be done on income it will be given to those in council tax bands A-D.

However, there will also be a new discretionary fund of £150m for councils to help low-income people who live in larger homes.

The Warm Homes Discount will expand from 2m to 3m people.

[GrimUpNorth]

Originally Posted by 1andrew1

The £150 will not be done on income it will be given to those in council tax bands A-D.

However, there will also be a new discretionary fund of £150m for councils to help low-income people who live in larger homes.

The Warm Homes Discount will expand from 2m to 3m people.

Been in meetings most of the morning so have missed all but the headlines. Who's funding the £150? I know ultimately 'we the people' will pay one way or another but is central government going to refund local councils, or are local councils going to be expected to make even more cuts to wholly or partly cover the reduced income?

[Jaymoss]

Originally Posted by Chris

You will see your overall council tax bill reduce by £150, so if you’re paying anything towards it at all you will see that amount reduce. Precisely how much will depend on whether the council tax benefit %age is calculated on the amount initially demanded by the council or the amount actually owing after the discount.

The £200 reduction in October is a response to the present cap increase. Having taken these measures today, I think Sunak has made it politically impossible for him not to act again in the event of a further crippling rise in the cap in October. But we will have to wait and see.

If all this does end up being the case this rise I can cover comfortably enough will have to see what happens with the next one. If the CT comes off the initial figure I will not see much of it but if it comes off the final figure I will have to pay next to nothing

[Inactive Digital]

I wonder how the rebate will work for households that are exempt from paying council tax?

[Jaymoss]

From 1 April the equivalent per unit level of the price cap to the nearest pence for a typical customer paying by direct debit will be 28p per kWh for electricity customers and 7p per kWh for gas customers

Copied from Ofgem site so gas users hit with a higher increase than electric

[Taf]

From 1 April the equivalent per unit level of the price cap to the nearest pence for a typical customer paying by direct debit will be 28p per kWh for electricity customers and 7p per kWh for gas customers

At the moment, after being moved from Orbit to Scottish Power, the prices are Electricity 21.180p per kWh, Gas 4.174p per kWh.

[Jaymoss]

Originally Posted by Taf

At the moment, after being moved from Orbit to Scottish Power, the prices are Electricity 24.761p per kwh, Gas 26.018p per kwh.

So are the 28p and 7p numbers to be added to what we were paying before?

no they are the final figures. Not sure if Vat is added or not though

Dunno why you are paying that much though as they are over the old price cap figures I posted earlier in this thread

Originally Posted by Jaymoss

yeah that does not give unit rates it just breaks down the overall charge.

I see it does on the page

From 1 October the equivalent per unit level of the price cap to the nearest pence for a typical customer paying by direct debit will be 21p per kWh for electricity customers and 4p per kWh for gas customers.

Which tbh is what all those on the price switch are coming in at so I should have guessed haha

These are the October Price Cap Figures so for some reason you are paying more than them. Your Gas figure has to be wrong

[nomadking]

Going to be a bit of a wait for the discount.
Link

The rebate on energy bills will provide around 28 million households with an upfront discount on their bills worth £200 and suppliers will apply the discount to domestic electricity customers from October, with the government meeting the costs.

People will be receiving higher quarterly bills before then, as well as those on PAYG meters costing more.

[Inactive Digital]

Originally Posted by nomadking

Going to be a bit of a wait for the discount.
Link

People will be receiving higher quarterly bills before then, as well as those on PAYG meters costing more.

Probably timed so the govt doesn't have to do more come the October prise cap change. I'm annoyed at politicians and the media describing it as a discount, when the money has to be paid back. Imagine the uproar if a dealership referred to a car loan as a 'discount'.

[Jaymoss]

Originally Posted by Inactive Digital

Probably timed so the govt doesn't have to do more come the October prise cap change. I'm annoyed at politicians and the media describing it as a discount, when the money has to be paid back. Imagine the uproar if a dealership referred to a car loan as a 'discount'.

Lets be honest about this though, they are not obliged to do anything. These price rises are not this Governments fault. Increased demand has led to increased wholesale prices. If you want to blame a government you will need to go back 30 plus years and blame those who decided not to increase gas storage and not invest in more nuclear power stations

[1andrew1]

Originally Posted by Jaymoss

Lets be honest about this though, they are not obliged to do anything. These price rises are not this Governments fault. Increased demand has led to increased wholesale prices. If you want to blame a government you will need to go back 30 plus years and blame those who decided not to increase gas storage and not invest in more nuclear power stations

The reduction in gas storage occurred recently - in 2017.
https://www.theguardian.com/business...h-gas-centrica

I think some responsibility must be attributed to Ofgem as well as the government and market forces.

[Jaymoss]

Originally Posted by 1andrew1

The reduction in gas storage occurred recently - in 2017.
https://www.theguardian.com/business...h-gas-centrica

I think some responsibility must be attributed to Ofgem as well as the government and market forces.

I said nothing about reducing storage