The window of opportunity for lower rates in the second half of August was brief as prices moved up strongly through September.
Above average number of price book changes kept GET on their toes to seek out the best deals and act.
October 1st marks the start of the new Energy Year in the world of Gas supply contracts. The market is hoping for a cooling of the high rates currently on offer.
Late August weakness on the wholesale market finally fed into Supplier price books bringing welcome reductions in prices. Half Hourly rates followed a similar route.
It makes for a busy time at GET as we look to seize the opportunity to secure attractive offers for our clients.
The first half of July has seen contract prices come off the highs seen last month and following the rising curve since February.
A slump in crude oil prices has played a part in that, as well as an increase in Gas flows out of Norway. Milder weather may help maintain market weakness
Goldman Sachs have called the bottom in the Brexit collapse of the British pound against its Eurozone counterpart.
Pound Sterling has suffered a notable hit over recent weeks tumbling from highs near 1.32 recorded ahead of the referendum result release to the sub-1.20s seen at present.
A lack of clarity on the outlook facing the UK economy has seen businesses pull back on investments and a flurry of European countries start to bid for UK businesses potentially looking to leave for the continent in order to maintain unfettered access to the single European market.
However, Robin Brooks at Goldman Sachs says there is a risk in assuming the UK is about to suffer a shock akin to those felt by emerging markets when an adverse shock is felt.
The distinction with emerging markets is important.
“Emerging markets often have large current account deficits, much like the UK,” says Brooks, “capital inflows then halt abruptly or even reverse on an adverse shock, a ‘sudden stop,’ and exchange rates tumble.”
This is not what is going on in the UK though, Brooks argues.
“In the wake of the Brexit vote, markets are functioning normally, capital is flowing in as well as out of the UK, and global risk markets are looking through what is a relatively minor shock for the global economy,” says Brooks.
Weather forecast models and expert analysis are collectively showing only minor increases in peak temperatures for July across the UK. Charts for much of the first half of the month at least suggest that the UK will be effected by a cooler Atlantic.
Another of those emails dropped into our tray today….Why is it that many suppliers of services tend to penalise their existing client base by rather offering tempting new packages at attractive prices to lure in the unsuspecting prospect. We constantly see new 12 month contract offers at rates some way below ‘industry standard’ prices of the moment and many new clients are acquired by this means.
Come month13 however it is a very different story and the now ‘existing customer’ is moved into the ‘renewal price’ arena, unable to gain access to the juicy prices being offered to potential newbies.
At GET we treat our customers as if part of the family, we take a long term approach to the retention of them as our clients. Their business success is our success in that we play a small part in keeping our services to them the most beneficial and competitively priced possible. We are constantly on the look out for and secure prices that outdo those renewal only deals.
Please call us today to discuss your renewal prices and perhaps become part of our family