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Evening Standard
Evening Standard
World
William Mata

Martin Lewis warns millions at risk of ‘destitution’ during energy crisis

Martin Lewis, with his CBE, has spoken out about the cost of living crisis

(Picture: AP)

Millions could be “destitute and in danger,” this winter due to rising energy bills, according to money saving expert Martin Lewis.

The presenter told BBC Radio 4’s Today on Wednesday that the cost of living situation will create a “national crisis,” on the scale of the Covid-19 pandemic.

Energy bills could set British households back an average of £4,400 this winter, according to a latest study, up from £1,900.

Liz Truss and Rishi Sunak have this week been using their media appearances to set out how they would tackle the crisis. Mr Lewis, founder of MoneySavingExpert, has called on both Conservative leadership candidates for more detail.

He said: “For every £100 direct debit you currently pay, in October you will be paying £181, and in January you will be paying £215, and that's on top of the rises we had in April.

“That is a cataclysmic rise for households; millions of households will simply not be able to afford it."

Mr Lewis added: "What we're facing here is a financial emergency that risks lives.

"I accept the point that Boris Johnson is running a zombie government and can't do much, but the two candidates - one of them will be our prime minister - need to get together in the national interest to tell us the bare minimum of what they will do.

"If they can't agree... what we need to hear now, because the mental health damage for millions of people who are panicked about this is manifest, is we need to hear accurate plans."

A survey released on Wednesday by Uswitch suggested households are already getting in mounting debt with energy suppliers, even before the energy price cap is lifted.

It estimates that six million homes across the UK collectively owe around £1.3 billion to energy firms - three times higher than a year ago.

Mr Lewis said: “If it is just tax cuts and the green levy [being proposed by leaders] then we are going to leave millions destitute and in danger this winter. And that cannot happen.”

A spokesman for the treasury added: “We know that rising prices caused by global challenges are affecting how far people’s incomes go and we have continually taken action to help households by phasing in £37 billion worth of support throughout the year.

“Eight million of the most vulnerable households will see £1,200 direct payments, and everyone will receive £400 over the winter to help with energy bills. The government has also recently accepted the pay recommendations of the independent Pay Review Bodies, providing public sector workers with the highest uplifts in nearly twenty years, targeted towards the lowest paid.”

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