Burnham reducing energy bills?

WhatThe
WhatThe Community Member, Scope Member Posts: 6,149 Championing
in Money and bills

I have been charged 61p VAT on my latest gas bill. The standing charge alone is more than four times what I'll pay for my fuel use! We used to pay zero standing charges..

Removing an already very low VAT from energy bills will not help consumers like myself, only those who can afford to use plenty all year round!

Am I being ungrateful? Is anyone here going to benefit much from this policy? Will it reduce inequality? 🤔

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Comments

  • Bluebell21
    Bluebell21 Community Member Posts: 5,419 Championing

    I would suggest it is more a gesture than much help @WhatThe

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing
    https://forum.scope.org.uk/discussion/comment/1142590#Comment_1142590

    A bit of an empty one IMO.

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing

    As Sheffie would say, he needs to touch grass!

  • SheffieldMan1976
    SheffieldMan1976 Posts: 3,580 Connected
    https://forum.scope.org.uk/discussion/comment/1142594#Comment_1142594

    Nah then thee! That's ma line!

  • 66Mustang
    66Mustang Community Member Posts: 15,503 Championing

    It's certainly a cheap way of coming across as generous, quite convenient from their point of view

    Most people associate "VAT" with "20%" so I guess those who don't think any deeper will instinctively just think: "oh wow that's quite nice of him, thanks"

    In reality it's 5% on a bill that probably makes up say two-fifths of your total fuel bill

    So 5% of 40%

    So 2%

    Obviously better than a kick in the teeth, but like I say I suspect they weighed up and realised it's a good way of looking generous without actually giving as much as it first seems - no lies just benefitting from the ambiguity and hoping people don't deep dive into the details

  • OverlyAnxious
    OverlyAnxious Community Member Posts: 6,316 Championing

    Where I live is all electric. There is no gas or oil here. So presumably my bills should be noticeably less…

    Currently I'm paying about £100 a month in summer and more than double that in winter. The main electrical consumer here is electric water heating, which is why the bills are still so high in summer.

  • 66Mustang
    66Mustang Community Member Posts: 15,503 Championing

    @OverlyAnxious

    I've been meaning to let you know, I ordered my new Motability car and, as someone who considers themself a car lover, I've been a bit of a heretic 😅

    I won't say which sin I've committed to the hydrocarbon gods but let's just say this tax break might give me a little more benefit 😅

  • ChrisR777
    ChrisR777 Community Member Posts: 1,661 Championing
    https://forum.scope.org.uk/discussion/comment/1142781#Comment_1142781

    And remember to turn off the microwave, that saves 30p per annum…🙄

  • Rag_793
    Rag_793 Community Member Posts: 379 Empowering

    I am with Octopus Energy

    IMG_2838.jpeg IMG_2839.jpeg

    I live in a 1 bedroom flat that is classed as Supported Living where I live independently. My monthly bills are quite reasonable as since 2024 I have use a fixed tariff rate each year. My prices remain quite steady, they send emails where you can opt in for energy saving measures at certain times of day.
    With my Water I am with Severn Trent, who operate the Big Difference Scheme for those that are on a low income.

    I operate on a notepad service on my phone with different payments for bills spread across the month -

    UC - PIP & ESA -ESA

  • Rag_793
    Rag_793 Community Member Posts: 379 Empowering
    https://forum.scope.org.uk/discussion/comment/1142843#Comment_1142843

    Electric is £13.72 Standing Charge & Gas Standing Charge £8.90 over 30 Days

  • Rag_793
    Rag_793 Community Member Posts: 379 Empowering

    I am with Octopus, on a fixed rate tariff each year. Octopus Energy uses Green and Renewable Energy Sources.


    https://octopus.energy/quote/?gad_source=1&gad_campaignid=23564866005&gbraid=0AAAAAC4N6qDpMQulFnMSOPxLh-8_Fsy16&gclid=CjwKCAjwvsvTBhBaEiwAmf-3nmAouDi0-FVADQybOMU2OrSZW96Z9ykdjGMryI7Pmstwu73QvtkYQhoCJooQAvD_BwE&affiliate=tay-singh.octopus.energy

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing
    edited August 6

    I now understand that this saving of VAT from 5% to 0% applies only to electricity bills and will last for six months, from October to March 2027.

    I receive the Warm Home Discount so I do manage but this plan is only a short-term solution for consumers with high electricity bills. It is perhaps aimed at households that do not receive the WHD.

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing
    https://forum.scope.org.uk/discussion/comment/1142800#Comment_1142800

    I am also with them. They are very easy to deal with.

  • 66Mustang
    66Mustang Community Member Posts: 15,503 Championing

    I can vouch for Octopus from a disability / accessibility point of view. They're great to deal with. They're one of the few companies that don't demand that you use the telephone or live chat. I can send them an email, and actually get a human reply – not an AI bot that answers a question I didn't ask before closing my query.

    They also seem really "human" in that it feels like you're talking to someone who isn't just reading from a list of pre-written responses.

    My grandmother (not an Octopus customer) died last year and left her bungalow to my parents. My Mum (an Octopus customer) was on the phone to them for something else and briefly asked how easy it would be to switch the bungalow over to them, when the time comes. She made no commitment or action toward moving over, just a very brief passing remark. A few days later a bunch of flowers turned up in the post with a "With Sympathy" card, from Octopus. 🌺 🐙

  • Rachel_Scope
    Rachel_Scope Posts: 4,464 Online Community Team

    That's so wonderful of them @66Mustang. I'm also with Octopus and have only good things to say about them.

  • Rag_793
    Rag_793 Community Member Posts: 379 Empowering

    The flat I am in is my first home of my own, when I thought about Gas and Leccy my head had so many things going through. But after research I chose Octopus Energy and honestly can’t fault them or recommend them high enough. They sorted out the meter readings between what I inputted and the readings my neighbour had inputted after the lady living in my flat had died. They did all the leg work between themselves and E-On to finally settle that my readings were correct. They have sent me an email this morning to say that they are upgrading my Smart Meter and there isn’t anything I have to do which is a relief.

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing
    edited August 6

    I find their website responsive and easy to use. Simple to change direct debit amounts or payment dates or return credit to your bank account.

    @SwiftFox In March 2026, Octopus introduced an early exit fee on fixed-rate tariffs but not on variable tariffs

    @Rag_793 and @66Mustang I don't yet know if that kicks in when our current contracts expire 🤔

  • Kimi87
    Kimi87 Community Member Posts: 8,969 Championing
    edited August 6

    I'm also with Octopus in a one bed flat (no bath).

    My summer bill combined is around £45, I'm not on a fixed tariff & pay by Variable Direct Debit.

    I have noticed though due to the higher costs my electric bill hasn't come down as much as in previous years over summer when usage naturally decreases.

  • WhatThe
    WhatThe Community Member, Scope Member Posts: 6,149 Championing
    edited August 6

    @Kimi87 I've just checked their daily standing charge in 2020 for electricity and it has more than doubled since then. We are using less but paying more!

  • OverlyAnxious
    OverlyAnxious Community Member Posts: 6,316 Championing
    https://forum.scope.org.uk/discussion/comment/1142924#Comment_1142924

    The WHD rules changed again for this year, meaning that more people will be eligible again this winter. Almost twice as many as last year. It is basically anyone on low income benefits now. They have removed the 'high bills cost' criteria which was added two years ago.

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