Qualified advisers answering your
Financial Questions
call 0800 092 1245

Is It Too Late To Fix Your Energy Costs?

While we have seen the likes of Eon and Scottish and Southern announce substantial increases in the cost of gas and electricity there was some relief in the market this week as Scottish Power announced a reduction in its fixed dual package which now comes in at just £1,099 a year against the likes of Eon and Scottish and Southern where dual rates are now in excess of £1,200. So what are the draw backs?

The main drawback is the fact that the rate is fixed until October 2009 so you would not benefit from any price reductions between now and then, but you would not incur any increases even if the cost of gas and electricity shot ahead. When you also consider that the rate of £1,099 is over £100 a year less than others in the sector there is already scope for prices to fall before you are any worse off. But is it too good to be true?

Rather than too good to be true, this is an investment in the future by Scottish Power as the group looks to give up any short term increases in order to increase the number of customers in the longer term. The company is banking on the fact that once rates fall back to more acceptable levels there will be less of a clamour to keep changing suppliers leaving the group with a substantially larger customer base.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details