Martin Lewis has urged energy bill customers to get savings on their tariffs ahead of 'significant' Energy Price Cap rises predicted in April, with increases of up to £100.
Speaking on ITV Good Morning Britain today, via video link, he said: "There's virtually no chance now of it not rising. The only question is how much the bill is going to go up."
He added: "The energy price cap moves every three months. The next change will be on the first of April, and that price cap is dictated primarily by the underlying wholesale rates, the rates that gas and electricity companies pay for buying energy, and those are public rates, and we roughly know the algorithm used by the regulator of check to predict them.
'There's virtually no chance of it not rising'@MartinSLewis warns energy bills are again set to rise.
— Good Morning Britain (@GMB) February 5, 2025
The price cap for April to June will be revealed later this month and analysts believe it could increase by up to 6%. pic.twitter.com/URHO1qlaDt
"It's worth remembering the assessment period for the April price cap is three months long and ends in two weeks, so when 10 of the 12 weeks through, which means it's pretty firmed up.
"Now you've currently got EDF predicting a 3.34% rise. British Gas predicting a 5% rise. AndEon Next, predicting a 6.27% rise. To put those in more normal terms for people, that's for somebody with typical use (I hate the typical use figure because it's slightly meaningless, but it gives you an idea) a rise of between 60 and 100 pounds on a yearly price basis. So that is quite a significant rise likely to be coming in April."
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He also warned of further price rises to come - with two more increases likely this year, after April.
Sadly, Ofgem's energy Price Cap is predicted to rise again by 3% to 6% on 1 April (& likely again in July).
— Martin Lewis (@MartinSLewis) February 5, 2025
Here's the Price Cap price history of someone on 'typical use' (at annual cost)
- Predicted Apr 25: £1,796 to £1,847
- Current (Jan 25): £1,738
- Oct 24: £1,717
- July…
"Just as important is to look at what's happening beyond that, when we go to the next cap in July and the next cap in October. Well, none of them, although that is a bit more of a crystal ball gazing because it's further out, but none of them are predicting the fall.
"Most of them are predicting continuous rises of another one or 2% so the price that we go to in April is looking like it will be on the low side, compared to about six to nine months. Prices are going up. People need to be taking action now."
The Money Saving Expert founder discussed options if you haven't fixed your bills, saying: "Look, for the last five months I have been - you know me, I am a subtle person. I have been calling the price cap pants."
He added that customers who haven't selected a special tariff are most likely on the Energy Price Cap and should be looking for a better deal.
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