an energy cap of 2500 - still double energy bills this winter?

[yih8979kh]

The figure of 2500 a one possible energy cap has been doing the rounds on the media -www.bbc.co.uk/news/business-62801913. It's definitely better than 3500 but doesnt that still mean that our energy bills will be double this winter seeing as last winter's cap was 1200? We paid 180 per month last winter, will it be 360 this Dec? Yes, we get 67 pounds off or something but thats still quite a lot more per month than last year.

I disagree, the media and energy companies themselves are purposefully vague and unhelpful and are not clear, I rarely see the unit rates as first and foremost in any article about this, they might be referred to or hidden somewhere but the most focus will be the yearly payment equivalents which mean nothing, because everyones usage is completely different

It is based on 'an average' though.

I do agree that it does take some research to look up the price per KWH and standing charge.

An average in things like this is meaningless. An average of a type of home, an average of a type of person, an average of an area (warmer down south), an average of number of people in a home, an average of type of lifestyle

There are way way too many variables to talk in terms of averages for this which is why when people see numbers quoted per thousands per year in price terms, they think it must apply to them, surely you've seen all the confused people on these threads not understanding the fixed rates or monthly payments and what they represent?

I was just saying that the word 'price cap' has been around for a long time now - that's all.

I do agree that it's not that helpful - but it is a rough guide. It's cleat that the cost of energy is increasing.

There is a thread on this

www.mumsnet.com/talk/am_i_being_unreasonable/4628140-to-worry-that-people-think-the-price-cap-means-unlimited-energy?reply=119803798

(But I think you've just found it)

If people feel that the sentence 'The price cap is £X for typical use' is confusing or misleading then all needs to happen is for it to be reported as 'The price cap is A pence per unit for electricity plus B pence per day standing charge plus C pence per unit for gas plus D pence per day standing charge'.

So if you want to know how much your monthly DD will be all you have do is solve the equation

(XA + 365B + YC + 365D)/12 where X is the number of electric units you use each year and Y is the number of gas units you use.

Or shall we stick with 'The price cap is £X for typical use' because surely anyone reading that sentence would immediately wonder what is meant by typical use and how their own use compares.

And when they see they use half of typical use. They can see their bill will be half. Or if they use double the price cap, their bill will be twice as much.. The information is easily available for anyone who looks for it.

No, standard variable

It can vary slightly depending on how you pay and the region of the country. But not by much.

global? Aus is doing fine

I thought the figure of the cap meant that people could not be charged more than that. I was thinking that my deep hot baths on winter evenings were back on the schedule 😳

Wow crazy

We are still getting the £400 back by all accounts.

Future plan must be to develop independent energy- solor, wind farms - and nuclear

According to the BBC the £400 and additional payments for lower income and disabled people are still going to be paid. That is to help bridge some of the gap to the new price cap. It is seriously worrying how many people don’t understand how the price cap works. I also wonder how many panicked and fixed at a higher unit price and will now be paying significantly more.

It is better than I thought it would be, but if Liz goes ahead with cutting tax and NI how are public services going to be funded? Also what is she going to do about energy prices for schools, hospitals and businesses? Many small businesses will close if there isn’t a price cap brought in for them.

You've got to take off the daily standing charge first. Your bill is usage cost plus daily standing charge.

I really despair sometimes.

Surprised there aren’t more? Have you seen house prices in the south? Of course there are a huge amount of millionaires

I think a tiered system of subsiding everyone for x amount of units - (maybe just slightly under the average figure )and then increasing it the more you use would be a better solution to encourage people to think about their useage, personal waste of energy. Hopefully it would cost less in government borrowing too. You could still then give pensions and include people with disabilities a winter fuel payment, as they need to use more gas/electricity for heating or equipment

I've also read that the £400 payment is expected to go ahead.

I agree with the point about the 'rich', i.e. they will also benefit from government funding designed to absorb the additional hike in energy costs above any cap set. They can afford to pay this themselves but inevitably will end up being funded by all tax payers in the long run. It's the same with the £400, millionaires will be getting that too but I guess it's no different to the winter fuel allowance also paid to all over 60s. It can be expensive to administer policies which are not so blanket in nature but agree there must be a better way.

Just use less energy then it won't be double.

We are being robbed blind. The energy companies are still making huge profits so it's no big deal for them to pay backhanders to policy makers (yes this does actually happen), then Truss can tell us how lucky we are and boost confidence in the naysayers. Two years ago we were told to stay home to keep granny safe, now granny's going to freeze to death and they couldn't give a f*ck, but that's okay because everyone who matters has made a tidy profit.
This January our boiler went and we couldn't get a new one for 8 weeks. We managed with the log burner and it obviously made a huge difference to our bills. We're going to try and manage without central heating again this year. I know this is not possible for everyone, but those of of us who are able to drastically cut our usage, should, so the demand, and therefore the control, is drastically reduced.

You do remember we have to pay the 400 back too right. It's not a freebie

Look forward to higher bills forever

Why isn't this the answer for now?

Basically handing all power literally over to the energy companies

Who don't care about us or the planet

That's just too sensible.😂

Yes, but unless you half your energy usage (very difficult to do even for careful users) it won’t be the same as last year.

And for whoever it was crowing upthread that their bills are much less and smugly insinuating it’s because they are so thrifty etc, I don’t see how anyone can claim that seeing as nobody has had a winter bill on new rates 🤦🏼‍♀️