Martin Lewis is urging around one million people on fixed energy tariffs to make an urgent check.
They money saving expert is encouraging customers to check how much they will now be paying under Ofgem’s new energy price cap, which came in on July 1. The cap now stands at £2,074 and it replaces the UK government’s £2,500 Energy Price Guarantee.
On Tuesday night's edition of the Martin Lewis Money Show Live on ITV, Martin focused on the current mortgage crisis - but he managed to squeeze in an important message to households currently on an energy fix, the Daily Record reports.
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He warned that despite the lower energy cap, those who moved on to a fixed tariff up to a year ago, may actually see bills go up this month.
The money saving expert told viewers: “Anybody on an energy fix, you need to check if your price has gone up.” He said those on a “costly fix” have now lost the protection of the UK government’s Energy Price Guarantee subsidy on July 1 and costs will now have gone back up.
Martin continued: “Check if the rate you pay for your fix has risen and risen substantially. If so, it’s likely that you’ll pay more than the price cap. There could be a million people in this situation.”
“If they’ve gone up, most people should switch to the cap - they do factor in any early exit penalties - once you’re on the price cap then you might want to look at whether you fix again," he said.
“Anyone on a fix generally a year ago - between 18 months and nine months ago - that would be the core time when you’re probably on a costly fix.”
