Wholesale energy costs at their lowest in 18 months...we are being completely ripped off!

Beat me to it. There's a bigger picture been drawn here.

Is a poll tax moment coming? Everything that's happening at the moment is not sustainable. Doesn't matter of you are rich, poor or middle ground.
gizboro68 said:
Maybe trying to appease the green lobby?l
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To anyone

Centrica own British Gas (7m UK customers) their share price has risen in 2022, but not significantly - if they are making big profits where are the profits going? and why is it not having a significant effect on the share price? It used to trade above 200p in 2017 now 84p.

Its not a loaded question - I don't have an answer - I am interested.
 
Is this energy crisis created by the big companies to crush the smaller companies that were undercutting them and hitting their profits…

there should have been greater checks into these small companies to ensure their robustness. But if those checks were in place, has this just been a big price fixing scam…
 
Centrica suspended dividend payments until later in 2022, could have something to do with it?

Their profits have doubled, though they have used a chunk of this to fully repay a furlough loan of almost £30 million.

Centrica are small change compared to BP and Shell though. Less than £1 billion profit in the last year whereas the other two have made around £7 billion each in the last 3 months.
 
sherlock1969 said:
Centrica are small change compared to BP and Shell though. Less than £1 billion profit in the last year whereas the other two have made around £7 billion each in the last 3 months.
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Precisely. It's the oil and gas producers, such as Shell and BP, who are making the big money. They are benefiting from sky high wholesale prices, whilst the cost of extraction will have only risen slightly.
 
I kn
Corcaigh_the_Cat said:
'powerful green lobby'🤣🤣🤣
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I know we argue. But sometimes even I can't believe what I read.

The words of BP

The chief financial officer of the oil and gas company BP, Murray Auchincloss, told investors this week: “It’s possible that we’re getting more cash than we know what to do with.”
 
Same_as_before said:
I kn
I know we argue. But sometimes even I can't believe what I read.

The words of BP

The chief financial officer of the oil and gas company BP, Murray Auchincloss, told investors this week: “It’s possible that we’re getting more cash than we know what to do with.”
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As obscene as BPs profits are I at least give them a little credit for openly saying a windfall tax wouldn’t change their investment plans in the slightest.

It’s blown a hole in the government’s arguments against one.
 
gizboro68 said:
25% of our electric bills are green levys,so not too much of a stretch of the imagination to believe a lack of gas storage facilities is down to the powerful green lobby!
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That would exist regardless, removal of our storage capacity was simply done on cost and a willingness to pass on any volatility in the market to the consumer.

Nothing to do with any green policy.
 
Glover_elbow said:
I await a defence from fair on here to say how poor these energy companies are and how they have little money.
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And here I am

If your energy prices were bought in based on next day delivery prices we'd all be screwed as they rocket, and it would be impossible to give people accurate quotes as they fluctuate, gosh, I think daily? You get a quote for a year usually when joining an energy firm, not for the cost tomorrow. Why do you think that is?

they use long term indicators because that's where it's expected to be given they will need ongoing supply, you can't just buy all the gas to arrive tomorrow and keep it in the garage until it's needed.

Without storage, which our government cleverly allowed to be taken away, this is the equivalent of kicking off about bread prices going through the roof at winter when there is Tesco value bread yellow stickered bear before yesterday. No good if you want bread tomorrow, and you don't own a freezer.

Fully support a windfall tax on energy generators, but too many people confuse suppliers with generators. The companies taking it in are the likes of Shell and BP, which you'll struggle to find any defence of me in here. The price cap was the only thing stopping those outside the big 6 from collapsing and only government intervention stopped bulb collapsing and they had to, because no-one would take on that many customers. If there wasn't a price cap, bulls would have gone up more.

The gas you are using now will have been bought at similarly eye watering future prices because they have to hedge their forthcoming supply contracts to remain in business, depending on the risk appetite of the suppliers and customer usage, some day trading will occur to plug gaps, but most of it is hedged long term as it's the only way to reduce risk and have stability. Some suppliers won't have done this effectively and will have been caught with their pants down - effectively putting customers on low deals to gain customers and relying on low rates to make their margin and as those rates shot up, they're actually paying for customers to use energy, so many have gone bust.

My energy firm, outfox, made a 2.7m loss in 2019, 750k profit in 2020, theyre hardly printing money. Imagine that's going to fall through the floor in 2021 when they file.

Meanwhile, government is still collecting VAT on the large increases in fuel and energy, and no-one complained when you were able to get the cheapest deals on u-switch/compare the market for several years due to these strategies...
 
I don't know the rate of corporation tax on BP & Shell (it should be 25%), but the UK Government must be collecting more tax from them from their increased profits.

To me the right solution is to use this corporation tax to help low income households to pay their increased energy bills. The £150 credit was given to some households that are not on low incomes. (a band D house could easily be worth £500k in many parts of the UK). So to me another £150 should be given to household working age welfare benefits and pension credit.
 
Redwurzel said:
I don't know the rate of corporation tax on BP & Shell (it should be 25%), but the UK Government must be collecting more tax from them from their increased profits.

To me the right solution is to use this corporation tax to help low income households to pay their increased energy bills. The £150 credit was given to some households that are not on low incomes. (a band D house could easily be worth £500k in many parts of the UK). So to me another £150 should be given to household working age welfare benefits and pension credit.
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The likes and BP and shell pay 50% tax on profits on UK production.
 
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