Hi All,
It is positive news!
I haven’t been able to report on many positive things in the energy market the last few emails.
Summer is here, wholesale prices are down and the offers being made are at the lowest point in twelve months. Not to mislead anyone from the off – the prices being offered now are 28p to 32p per kwh on electricity and 7p to 10p on gas. If you are finishing a three year contract that ends this year you are looking at roughly double your current rate on electricity and threefold on your gas. That said if we consider the 50p to 95p per kwh it was August to December last year, we are in a much better place.
With many people I spoke with last year the only comment I could make as they signed one year contracts at say, 68p per kwh, was ‘hopefully I can half you bill next year’ the time to do that is now. We can as hoped half peoples bills this year. Welcome news, I’m sure you will agree.
A concern that I have and I would have everyone consider is this – the government help stopped in March of this year and those people that were cornered into signing a one year deal at the high point of last year still have months left on those rates with little to no government support. I’m sure some of you reading know this problem all too well. This means that over the next few months quite a number of companies will not be able to pay the excessive rates they are on. As more and more business call their suppliers to ask for respite in some form, I believe this will have a negative effect on new contract prices.
We are at the high 20ps or low 30ps – A price anyone would have taken last year, is it time for you to check in with what can be done for your next contract? Remember you can look at any contracts ending in the next 12 months.
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