this is true. their attitude is ‘why do we care as long as we’ve got the money’.
Well, it’s certainly true that Bulb keep their price consistently below the cap by a decent margin.
More than 11million households in Britain risk overpaying £3.5billion on their energy bills this year as they stick to expensive standard variable tariffs from the Big Six, new research claims.
I don’t have any problem with this. The whole point of privatising the energy market was to create competition and allow consumers to shop around. Those that choose not to shop around potentially pay more, that is designed in to capitalism and the way things are supposed to work.
The price cap was introduced at the beginning of 2019 as a way of encouraging customers stuck on pricey SVTs to shop around to find better deals - and not leave them paying over the odds on their monthly bills.
Was the price cap introduced to “encouraging customers … to find better deals”? Really? It quite obviously does the opposite and allows those on SVTs to relax even more and know that since there is a ceiling to what can be charged they wont be on any tariff significantly higher than any other.
However, many suppliers have since been accused of using the price cap as a target, rather than an upper limit.
Of course it’s a target. The same way as the £9k “upper limit” to student fees is a target. The price cap is basically government sanctioned price fixing. If the energy suppliers agreed in secret to put all their SVTs at more or less the same rate it would be illegal.
This is capitalism and the competitive market. This is how it’s supposed to work. If people, and the government, don’t like it then the solution is to have one public owned energy supplier that operates on a not-for-profit basis selling energy at wholesale market rates.
All this tinkering with price caps and complaining when people don’t bother to shop around making use of what competition has enabled doesn’t fix anything.
The latest wheeze is people complaining that “smart meters don’t save you any money” while simultaneously complaining that they can’t get on the cheapest tariffs that safe you money because they don’t have a smart meter. You couldn’t make it up. The cognitive dissonance is baffling.
The problem with that being anything Govt. run would be loss making unless we went back to the good old days of QANGO’s
See, I don’t really buy the “private companies can be run more efficiently” argument. There’s no reason why it should be like that at all. And in some cases I’d prefer government run industries to be more expensive because I want things to be done the right way, not the cheapest way. It’s quite possible that a public energy supplier should be loss making, if the assumption is that energy supply is a human right and should not be used for profiteering to the point at which the government are prepared to introduce a price cap.
Another way of saying loss making is “subsidised”. Things like the warm home discount do nothing but funnel public funds raised by taxation into private companies. Socialise the risk while privatising the profits. If we’re going to have a WHD and a price cap, just bite the bullet and re-nationalise the damn industry.
Would the tax payer be prepared to pay £xb’s to re-nationalise?
I would be all for it if it was one independant body that focused on our energy needs now and in the future
That’s the problem, that ship has sailed now.
Privatise at 20% or whatever of the market value just to raise some short term funds, and then screw over the future of the economy because you can’t ever afford to buy it back.
Yet more short termism by our useless governments.
But that’s not how life works. The caveman most skilled with a bow and arrow, never starved.
However, in this case, I agree with you. I pay the same amount for water as the next door neighbour. The utility still makes a profit. Why should power/heat be any different?
The apathy by consumers is staggering. (Why is anyone on a standard rate with their supplier?).
Why is anyone still with Bulb?
It’s because the average user is either too lazy or cannot handle numbers.
Does any other supplier act like Bulb and not exploit people’s inability to choose the best tariff?
Simple solution. Every supplier can only have one tariff, which applies to all users.
PS. Well done Bulb! You may not be the cheapest, but neither do you exploit the majority of your customers.
I agree, but I’d like to think civilisation has moved on and doesn’t just let the weak and the vulnerable die?
I know, I live in cloud-cuckoo land. It’s a nice place in my head.
I contacted my current supplier prior to starting a switch with another company. As an economy 7 customer they simply said they could not offer me a decent tariff. They only have offers on Smart meters and they couldn’t accomodate economy 7 with a smart meter at the moment. I would therefore be moved to the standard tariff. I think this is disgusting.
Yes it is the customers job to shop around, however there are a lot of people out there who still find switching companies intimidating. They are not lazy, or stupid, just scared.
could i come and live there also? Ican remember when people helped each other, but now alas it’s I’m alright Jack, the rest of you can go take a flying jump
Of course! The weather’s lovely and we all wash our hands!
Whilst singing Happy Birthday twice.
is that before or after you wash your hands?
‘Whilst’ = concurrently; at the same time.
Spot on with that observation.