Martin Lewis hit out at critics who have branded him a "sell out" after he praised the Government's package to help people with the cost of living crisis.
People in the UK are set to receive a £400 discount to go towards their energy bills after Rishi Sunak made a U-turn on his plans to force people to pay back help. The Chancellor announced the grant would double from £200 to £400 for all households - and would no longer be repayable - as part of a package to help as the cost of living crisis deepens, reports the Mirror.
Following the announcement on Thursday (May 26), consumer affairs expert Martin Lewis tweeted that the Government's plan was a "good move", prompting a wave of criticism. "I've nowt to sell out, I just try and call it straight."
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The measures will be funded by a 25 per cent windfall tax on extraordinary profits of oil and gas giants - in a major U-turn by ministers. Mr Sunak said the sector was making "extraordinary profits" due in part to surging global gas prices triggered by the war in Ukraine.
It comes as Mr Lewis urged customers of British Gas and E.On to check if they can fix into an energy deal that is less than the current price cap. The MoneySavingExpert (MSE) founder addressed concerns about rocketing energy bills after the boss of Ofgem warned the price cap could rise to £2,800 in October.
Energy bills have already shot up for millions of households across the UK after Ofgem hiked the April price cap to just under £2,000. During his Martin Lewis Money Show Live broadcast on ITV earlier this week, Martin was asked by one viewer if now is the time to lock into a fixed rate energy deal.
The MSE founder explained that there are currently no open-market rates cheaper than the current price cap - but you may be offered a cheap rate from your existing provider. The margin Martin gave for considering locking in now was 30 per cent above the current price cap - or 35 per cent if you’re after price assurance.
He said: “[The price cap] is going to go up 42 per cent, we’re predicting in October - and then even though the new price cap only lasts three months, the latest estimates I’ve had from analysts is the January price cap for the next three months is going to be the same. So we’re expecting it to be around £2,800 until next April - it’s horrible isn’t it - then it is going to drop a little bit.
“When you plug all that in to where we are now - four months on this price cap, then six months on the next price cap - effectively, if you can find a fix below around 30 per cent of the current price cap, then it’s probably worth doing. You can add five per cent on top of that because you get price assurity of knowing what your prices are.”
