The Brexit effect
In the run-up to the EU referendum vote,
both sides claimed that their option would drive down energy costs in the
long-term. Like most other questions in the Brexit debate, it will be a long
time before we know for sure which side was right. In the meantime though,
three are a few things we know for sure:
Brexit creates uncertainty, and
uncertainty means higher prices
Your energy supplier will probably not
have generated your electricity or mined your gas themselves. Instead, they
will have bought it on the wholesale energy markets.
Milkman
Energy is another aggregate exchanging organization. We hold month to month
barters where vitality organizations offer for purchasers' business, giving
buyers the most minimal value conceivable. We are creating a group of people
who are looking to save their Energy
bills, Gas bills and Power bills .
Like stock markets, speculators and
traders can change the price dramatically.
The bad news is that while a company’s
stock price will seldom affect the amount consumers pay for its products, a
rise in energy prices can be directly passed on to the consumer by the energy
company, in the form of higher bills.
Unfortunately, the uncertainty caused by
Brexit has made traders jumpy, and prices of energy have started to rise in the
short term. This means energy suppliers are now paying more...and the consumer
will start paying more too.
Milkman
Energy is the main aggregate changing organization to offer a month to
month closeout, giving purchasers a standard opportunity to cut their bills and
Save on Energy bills, Gas bills, Power bills.
Weak pound = expensive gas
The country imports roughly half of its
gas. This is good when the pound is strong - but if the pound is weak (which as
a consequence of Brexit, it currently is), we are paying more. This is another
factor which will likely push up the cost of gas.
Leaving the single energy market may
cause complications
The UK is in the EU’s single energy
market. Here things get complicated - but in simple terms, the single energy market
allows countries to work together to secure their energy supply. It is unclear
whether we will remain in this market in the long term - but if we do not, we
might see a longer-term rise in prices.
Milkman
Energy is the main aggregate changing organization to offer a month to
month closeout, giving purchasers a standard opportunity to cut their bills and
Save on Energy bills, Gas bills, Power bills.
So what does that mean?
The above factors make it look like
Brexit may mean higher energy prices. And that may well be true - but the
bottom line is that we do not know how the UK’s exit negotiations will play
out, or how this will effect energy. However, it seems likely that energy
prices may rise, at least in the short term.
This may make it difficult for people to
budget. As a result, we think you should “fix” your bills. By taking on a fixed contract, you will know
exactly how much you will pay for the duration of that contract. This allows
you to budget...and means you won’t have any nasty surprises.
