UK energy prices and Rolex demand...

[Lewi777]

Originally Posted by UK_

Clearly there are a lot of Americans who now think we lay £22k a year for energy, which is nonsense! My 5 bed modern detached is about £1,600 per year in gas and electricity.

OP - where are you getting these crazy numbers from? Even the kWHs you quote won’t cost that much, a 2 year fix for that MASSIVE useage is about £10k per year without looking hard, but why would you fix right now?

As to the question - I don’t think it will impact demand too much, only a full blown recession will, and even then the sheer size of stimulus that has been pumped in has changed the rules.




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Sigh ... if you actually read my posts you will clearly see I never said I was or would pay £22k per year. Someone misquoted me on that. I'm paying £5K (less than your calculator image shows). £22k came from me saying that in the next TWO YEARS if I was to go with the cheapest fixed rate QUOTE I would be paying an extra £22K. When I drop off my fixed rate, I'll end up on the new April 1 price cap and that will be more than double what I'm paying now.

[Lewi777]

Originally Posted by R.bartlett

there's no way your house in its present setup is heatpump ready. if you think your AGA is inefficient try putting in some of those bad boys !
insulation insulation insulation !
you should consider this irrespective of current or proposed energy prices or before any changes. UK housing stock is generally poorly made and badly insulated. I would invest in a Flir IR app for your phone and wander around outside and see where your heat is escaping. or get a energy guy in to do a survey..

heatpumps are massively overhyped and generally under perform. even after insulation you're looking at 30k+ to install something big enough to cope with your energy demand. ROI is not achievable on most installations when whole life cost is factored in
I'd at least remove the hot water side of the AGA by adding a gas boiler as that would reduce the gas bill by 50% minimum.

you also alluded to the UK being somehow unique in its current position regarding energy . it's not. I'm in Spain and the government here has stepped in to try to cap rising prices as electric has more than doubled in the last 6 months.

as regards your general point here in Tenerife during the crisis there were a lot of Rolexes in the AD window even the odd SS one. however since the return of the tourists we are now the same as every AD, empty shelves. but I do believe the world is in for a monetary shock and luxury goods could well be hit.
interestingly Rolex is more of an asperational luxury good rather than a genuine high end luxury good and it's quite possible that's exactly the area likely to be hit hardest in an economic downturn or crash..
high end real luxury goods don't suffer quite so much as the rich ride out recessions easier... IMHO

oh and I really do recommend moving out of the UK. I always intended to move to the sun as retirement approached and it's the best thing I ever did.

Thanks for the phone tip, will check it out.

[UK_]

Originally Posted by Lewi777

Sigh ... if you actually read my posts you will clearly see I never said I was or would pay £22k per year. Someone misquoted me on that. I'm paying £5K (less than your calculator image shows). £22k came from me saying that in the next TWO YEARS if I was to go with the cheapest fixed rate QUOTE I would be paying an extra £22K. When I drop off my fixed rate, I'll end up on the new April 1 price cap and that will be more than double what I'm paying now.

I read it, but clearly lots of Americans thinks your energy bill is $22k per year, which is what you said.

I still have no idea where you get £16k per year from.


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[Lewi777]

Originally Posted by UK_

I read it, but clearly lots of Americans thinks your energy bill is $22k per year, which is what you said.

I still have no idea where you get £16k per year from.


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I said "an extra £22K for gas and electricity over the next two years". Here is a link to my post: https://www.rolexforums.com/showpost...70&postcount=7

The £16k figure came from EDF, it is their quote for a 1 year fixed rate starting April 22 when our fixed rate expires. Your screenshot is, I assume, based on the Scottish Power current variable rate and it is completely inline with my current prices, in fact it is higher than we pay now.

The price in your screenshot of £5765 will almost certainly go to more like £9k in April and £11K in October, due to price cap changes. If you want a fixed rated deal it will be much higher.

I trust that explains where these figures are coming from. You can easily verify this via sites like USwitch or CompareTheMarket if you so wish. But from now on I'm just going to link back to this post if people insist on misquoting numbers.

[UK_]

Originally Posted by Lewi777

I said "an extra £22K for gas and electricity over the next two years". Here is a link to my post: https://www.rolexforums.com/showpost...70&postcount=7

The £16k figure came from EDF, it is their quote for a 1 year fixed rate starting April 22 when our fixed rate expires. Your screenshot is, I assume, based on the Scottish Power current variable rate and it is completely inline with my current prices, in fact it is higher than we pay now.

The price in your screenshot of £5765 will almost certainly go to more like £9k in April and £11K in October, due to price cap changes. If you want a fixed rated deal it will be much higher.

I trust that explains where these figures are coming from. You can easily verify this via sites like USwitch or CompareTheMarket if you so wish. But from now on I'm just going to link back to this post if people insist on misquoting numbers.

The screenshot I shared is a 2 year fix from Scottish Power, so the rate will not increase when the SVR ‘price cap’ increases in April - and no one knows how much it will go up by, I would expect it to be a about 45% (I work in the industry).

I stand by that £16k figure being nonsense ($22k per year, as you said).


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[cascavel]

Originally Posted by enjoythemusic

Some say a sound 'currency' is based on 'energy'. Don't ya just hate the politics of oil? Me too! Would say more, yet I'd get hammer banned. We had built a new energy-efficient home, our combined electric / nat gas bill, which includes occasional pool/hot tub heat, is $200 USD a month.

Have you considered moving out of the UK, that is a wise move imho.


PS: When it comes to USA/UK 'news', don't believe the hype...

Must be why Russia has such a sound currency, Venezuela, too. Oh, did I mention Mexico, Iraq, Iran?

[cascavel]

Originally Posted by Lewi777

Being on a fixed rate energy tarrif for the last year, the UK energy crisis has largely passed me by, but now I'm coming off that fix I've been offered a renewal. The cheapest new fixed rate for our circa £5k ($7k) energy bill is now £16K ($22K) a year. That's a Rolex a year for the next couple of years at least.

I've been dismissing talk on here of this causing any dent in UK demand, but I do now wonder if this, combined with inflation accross the board might actually be more significant that I'd realised and may very well dampen demand, at least in the short term. I hadn't realised how much energy was going up; a 200+% rise is probably going to cause some here in the UK at least to review that Rolex purchase.

We live in an old, inefficient house with a gas AGA of all things, so we're probably about as bad as it gets in the UK for energy ratings, but I'm thinking of all those big old independent schools that are going to get enormous energy bills, which may very well have to be passed on to those middle-class Rolex buying parents. Pressure is definitely coming to pockets here in the UK and we're told Russia is about to invade the Ukraine - where all the gas flows through to the EU.

Interesting times ...

The beauty of higher energy prices is that one persons loss is another persons gain. Millions in the UK will will be paying more for energy and a few thousand in the Middle East and elsewhere will reap the benefits. Those few thousand will have no problem soaking up the excess Rolex inventory left behind in the UK.
Since so many of them own homes in London, anyway, they will be available to shop should a Rolex actually appear in the case of a London Rolex AD.
Put your worries aside, Rolex will do just fine.

[1665fan]

This whole thread is worthless……

[joeboy]

Originally Posted by 1665fan

This whole thread is worthless……

No it is not, only your contribution.

[1665fan]

Originally Posted by joeboy

No it is not, only your contribution.

Lol…nobody can decide how much this guy pays or has paid or will pay…………and his massive house with terrible heating in year 2022……..come on guy

[joeboy]

Originally Posted by 1665fan

Lol…nobody can decide how much this guy pays or has paid or will pay…………and his massive house with terrible heating in year 2022……..come on guy

The world is full of all sorts of people. I try to learn from them all and not shut any out. No worries.