Martin Lewis has issued a stark warning to anyone who pays their energy bills using a direct debit.
The Money Saving Expert founder has been inundated with requests from worried bill payers ahead of the energy price cap’s huge rise next month. Regulator Ofgem has confirmed the hike, which will see most bills rise by £693.
The price cap will surge from £1,277 to £1,971 from April 1 – while prepayment customers will be worse hit, with a jump of £708 from £1,309 to £2,017.
While Mr Lewis is often able to provide people with options to cut costs, he has been left deflated in recent weeks. Last week he said he was “out of tools” and urged the Government to do more to help people who are struggling.
On Tuesday, he took to Twitter to issue a warning, in what appears to be a response to a large number of people asking the same question. He said: “WARNING! Many talking about cancelling energy Direct Debits to ‘keep in control’ and just pay when billed.
“Yet be aware that’s usually charged at a HIGHER RATE. Price cap (for someone with typical use) paying by:
“Monthly DD £1,971
“Prepay meter £2,017
“Quarterly bills £2,100”
On Monday, Martin appeared on Good Morning Britain, where he told co-host Susanna Reid: “We are in the worst position I have seen since I started being the Money Saving Expert back in 2000.” His advice is, as it has been for some time, that for most people the best thing to do to pay as little as you possibly can is to “do nothing” and stick with your current provider.
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