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Vivaldo

Gas And Electricity Price Hike

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Was shocked when British Gas came out with the 22% chunk on gas and electricity yesterday. BUT was I the only one shocked by the tying in of electric with gas? I thought it was only going to be on the gas

Edited by Vivaldo

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Was shocked when British Gas came out with the 22% chunk on gas and electricity yesterday. BUT was I the only one shocked by the tying in of electric with gas? I thought it was only going to be on the gas

Where have they been? My gas bill came through last week and was MASSIVELY up on previous (per unit, not just cos it's winter).

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in theory we have free markets in all energy sources.

unfortunately, as oil went up so did gas and coal has followed. as electicity is mainly genrated from oil, gas and coal- hey presto- electrcity prices have to rise.

if we were 80 % nuclear the electricity costs would be contained.

i think the public will soon realise that times are getting hard.

my heating bills began increasing last summer.

i am on oil and the price rises have been inexorable.

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I bet the retail sector is really soiling its pants now...

less money for households to spend on the High St.

D :ph34r::ph34r: M

My partner worked for an independent bookshop in the outskirts of London a couple of years back. He wouldn't put the heating on cos of the cost, even though customers complained it was freezing. I can't imagine what's happened to his shop this winter. Maybe he's storing fish there now.

My point is: while people are spending less money their costs are rocketing.

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I bet the retail sector is really soiling its pants now...

less money for households to spend on the High St.

D :ph34r::ph34r: M

if the trends cointinue, ordinary people will not be able to get through the month and pay, the car costs, poll tax, utility bills, school extras( which are mandatory) as well as buy food.

these are not maxed out people who have mewed to the hilt, just ordinary folk.

add to this rising unemployment etc . it aint gonna be fun

reminiscent of the ealy 1980s

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if the trends cointinue, ordinary people will not be able to get through the month and pay, the car costs, poll tax, utility bills, school extras( which are mandatory) as well as buy food.

these are not maxed out people who have mewed to the hilt, just ordinary folk.

add to this rising unemployment etc . it aint gonna be fun

reminiscent of the ealy 1980s

people will jsut borrow more and more and be indebted for life.

Good point from the other poster about the spiralling costs for shops (energy prices).

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in theory we have free markets in all energy sources.

unfortunately, as oil went up so did gas and coal has followed. as electicity is mainly genrated from oil, gas and coal- hey presto- electrcity prices have to rise.

if we were 80 % nuclear the electricity costs would be contained.

i think the public will soon realise that times are getting hard.

my heating bills began increasing last summer.

i am on oil and the price rises have been inexorable.

For the nuclear bit, I agree but with thetheory only, in France largly sublied with nuclear energy the hike in electricity bills is nasty. They just take advantage of the upward trend :angry:

Massive profit to please the share holders <_<

TWT

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Gordon's already said he wants us to take the hit of higher oil and gas prices by accepting lower living standards rather than expecting inflation-linked pay rises...........which would mean higher IRs.....

but IMO higher IR's would be a good thing.......

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Interest rate increases a few percentage points will not seriously effect most home owners. I've said this before and I'll say it again. The majority of home owners will not be effected by lower house prices.

Interest rates are at an historically low level. People have become addicted to lower rates but they coped before. Life can be tough and its sad that those who have bought property recently may suffer. The majority of this mess has been caused by investors who I don’t have any sympathy for.

Lets get this country back on track and raise the cost of borrowing.

Mr Joe.

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The Oil & Gas sector is now a Net importer.

The UK sector is now set in permanent decline.

"Crash" Gordons tax cut as a result is in decline.

That is a significant chunk of what we produce as a real export contributor to a weakening GDP in the UK.

When Piper Alpha exploded all those years ago cutting offf a huge network of export pipelines we went into a recession...... Fact

Loans, re-mortgaging, housebuilding, cutting each others lawns and wiping each others aaarrrssess is not a contributer to Uk GDP. It is pure NLabour SPin.

No matter how hard the NU-Labour incompetents sell it.

Shoot me down...........

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if the trends cointinue, ordinary people will not be able to get through the month and pay, the car costs, poll tax, utility bills, school extras( which are mandatory) as well as buy food.

these are not maxed out people who have mewed to the hilt, just ordinary folk.

add to this rising unemployment etc . it aint gonna be fun

reminiscent of the ealy 1980s

In this vein there's quite a worrying thread on MoneySavingExpert

http://forums.moneysavingexpert.com/showthread.html?t=147067

edit: probably being a bit harsh on MSE.

Edited by greencat

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I've been speaking to people today who already are struggling to pay their power bills and who are very woried by this increase.

Indeed - lad at work just starting out. Him and his missus share a house (that never feels warm) with a couple of others. Only have the heating on for an hour in the morning and a couple of hours at night. £300 gas bill for 2 months! I told him I thought the heating system must have been borked - but they can't get the agent to do anything about it (quelle surprise).

I find it quite heart rendering reading some of the stories on the MSE thread as some sound like they could have been written at the turn of the last century - not this one. It's going to be very hard on those on a fixed and low income.

Edited by greencat

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Was shocked when British Gas came out with the 22% chunk on gas and electricity yesterday. BUT was I the only one shocked by the tying in of electric with gas? I thought it was only going to be on the gas

Electricity prices are up because some 34% of our electricity is generated using gas.

in theory we have free markets in all energy sources.

unfortunately, as oil went up so did gas and coal has followed. as electicity is mainly genrated from oil, gas and coal- hey presto- electrcity prices have to rise.

if we were 80 % nuclear the electricity costs would be contained.

Almost no electricity is generated from oil. The break down is like this:

Coal				 36.7%Gas				  34.1%Nuclear			  21.3%Other renewables	  3.5%Other fuels		   1.8%Oil				   1.3%Net imports		   0.8%Hydro (natural flow)  0.5%

link

The challenge clearly is that most of the nuclear is going to be decommissioned within 10 years with only 10% remaining in 2023. The gas currently is indigenous, coming from the North Sea. By 2020 we'll be 80-90% reliant on gas imports. Regarding coal, a third of the existing plant is due to be decommissioned in line with the EU large combustion plant directive limits on sulphur dioxide (SO2) and nitrogen oxides (NOx).

The UK has an electricity crisis looming.

I find it quite heart rendering reading some of the stories on the MSE thread as some sound like they could have been written at the turn of the last century - not this one. It's going to be very hard on those on a fixed and low income.

But look, the Government expect fuel poverty to fall!!

Look at this graph from a Government publication in January:

fuel_poverty.gif

Fuel Poverty

The Government are living in cloud cuckoo land if they think prices can rise like this and fuel poverty fall at the same time. How can the price of something increase whilst it simultaneously becomes more affordable? We certainly aren’t getting richer.

Edited by clv101

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Not for anyone who bought in the last 2 years, they're not. IRs were 3.5% back then, they're now 4.5% - that's around 30% higher.

Good point. Bit like people syaing "housing market is booming" as all the VI report. But its not. It boomed in 2004 and since then its been in decline. Unfortunately, we don't have one figure to go by as in IR, so the stats can be spun by the VI

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if the trends cointinue, ordinary people will not be able to get through the month and pay, the car costs, poll tax, utility bills, school extras( which are mandatory) as well as buy food.

these are not maxed out people who have mewed to the hilt, just ordinary folk.

add to this rising unemployment etc . it aint gonna be fun

reminiscent of the ealy 1980s

Well I've figured out that I spend £266 a month on non-food related bills (utilities, the car, insurance, council tax etc...), things like insurance and TV license that occur once a year are spread out over the year for the sake of arguement. If I take the car out of the equation it's £185 on purely household bills.

So added to my £420 pcm rent (on a flat), thats £680 a month just gone!

I wouldn't say the amounts I pay are overly excessive as I'm cheapskate and try to keep things as cheap as possible.

How the heck are people on minimum wage working the average 37hr week taking home £600 a month meant to cope? Even if they don't have a car then they have -£5 a month to spend on food, clothing, travel to work.

If it's a couple and they both work full-time and bring in £1200 then things are a lot better then they have £520 a month (assuming they have only one car) to live off and save. Still not the life of riley is it? £200 a month will easily go on food for two people, £30 on bus fares to and from work for one person, say £20 for shoes & clothes. That's £270 left for savings, pension (not likely), holidays, unforseen expenditure.

Life in Bliars and Browns Britain.

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in theory we have free markets in all energy sources.

unfortunately, as oil went up so did gas and coal has followed. as electicity is mainly genrated from oil, gas and coal- hey presto- electrcity prices have to rise.

if we were 80 % nuclear the electricity costs would be contained.

The vast majority of gas contracts are indexed to oil, hence the rise. The marginal (i.e price setting) generator for power in the UK is gas and oil plant, hence the rise. New nuclear build will take at least 10 years, but is still not the solution long-term, there is not enough U235 (i.e. a useful nuclear fuel) to sustain a wholesale (worldwide) switch to nuclear power.

Edited by RobertPaulson

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  • 338 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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