The UK’s most popular finance expert Martin Lewis has apologised after branding Ofgem’s proposed energy price cap changes a “f****** disgrace”.
The Money Saving Expert founder apologised to Ofgem employees for “losing his rag” after he accused the energy regulator of “selling customers down the river”.
As Brits struggle to contend with the ongoing cost of living crisis with soaring inflation, rising energy bills and high prices at the petrol pumps the energy regulator said that it might insert two new reviews a year, one in January and another in July.
This decision angered the cash-saving guru to the extent that he was later forced to apologise.
Martin Lewis apologises over Ofgem rant
Speaking on Twitter he said: “I'd like to formally apologise to the Ofgem staff for losing my rag in a background briefing just now and saying its changes are a "f****** disgrace that sells consumers down the river".
“I should've behaved better. My ire's institutional not individual, its was inappropriate…”
He added: "I lost it when getting a briefing about today's proposals, where it feels like at every turn, in these desperate times where lives are at risk, it has ignored all asks for consumers and instead kowtowed to the industry (I hope history proves me wrong)...
"My breaking point was when hearing how instead of listening to calls to scrap its proposed market stabilization charge, it was making it harsher to really 'stop the harmful effects of competition'.
"Ie staggeringly its aim's to effectively STOP firms undercutting the price cap...
"Please accept that was (and this is) an emotional rant, not a considered piece.
"I pray when I do further analysis I have to apologise again as I've got it very wrong (if not I worry about dire consequences for consumers - we must do more to make things better for them)".
His rant sparked a reply from food poverty campaigner Jack Monroe who agreed: "You speak for all of us, Martin. Their changes ARE a f***ing disgrace that sell consumers down the river.
"Anger is a powerful tool, and you more than most have every right to wield it. You’ve done enough, politely enough, for long enough, to have just about had enough. X"
How to reduce your energy bills
Jonathan Brearley of Ofgem on the price cap
“Today’s proposed change would mean the price cap is more reflective of current market prices and any price falls would be delivered more quickly to consumers,” said Ofgem chief executive Jonathan Brearley.
“It would also help energy suppliers better predict how much energy they need to purchase for their customers, reducing the risk of further supplier failures, which ultimately pushes up costs for consumers.
“The last year has shown that we need to make changes to the price cap so that suppliers are better able to manage risks in these unprecedented market conditions.”
When will Ofgem changes come into force?
After a consultation, Ofgem hopes that the changes could come into force from October, meaning the first change under the new system would be made in January.
The energy price cap – currently at a record £1,971 per year for the average household – is reviewed every six months and changed in October and April.
Ofgem considers a range of information when deciding where the price cap should be set. The price that energy suppliers pay for the gas and electricity they buy is a major part of this.
Over the last year gas prices have risen so rapidly that suppliers were often forced to sell the gas for less than they bought it for due to the price cap.
By changing the price cap more often, Ofgem will make it more reflective of international gas prices, taking some of the pressure off suppliers.
