Monthly Archives: April 2008

Cheapest energy deal jumps £83 (10.4%)

….it’s time to fix your energy prices
 
The first signs of another round of energy price rises have appeared this week as the price of the cheapest energy deal rose by £83. From 28th April, the cheapest energy deal for the average customer now comes in at £878, up 10.4% on where it was last week. More importantly the difference between the cheapest average deal, and the cheapest average Fixed Price tariff is now only £101 a year (£8/month). See below for a comment on why now is the time to make the move to a fixed price tariff. Continue reading

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Is another 25% increase in energy bills justifiable?

Just 2 weeks ago we posed the question….”could gas prices rise by another 15-20% this year?”. Today we read in the press that there is now talk of a 25% increase. Is this justified? Let’s consider the data.
 
Oil prices have hit a new record high of S117/barrel, up from $100 at the beginning of the year. Despite this, Bloomberg reports that OPEC says it doesn’t need to raise output. Continue reading

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Could gas prices rise by another 15-20% this year?

On the same day that the Halifax reported that the value of the average house price in the UK had fallen by £4,900 in a single month, consumers face the prospect of further misery in 2008 on their energy bills.
 
The relentless rise in wholesale energy prices has continued throughout March 2008 and into April. Wholesale gas prices are now 37% higher than the beginning of 2008 with wholesale electricity 18% higher, and at a new high. As the graph below shows, despite the recent domestic price rises, standard energy bills have still NOT kept up with wholesale price rises meaning that further increases later in the year now seem almost inevitable. Continue reading

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