Financial guru Martin Lewis returned to ITV’s This Morning today, to answer viewers regarding questions regarding the current energy crisis.
Appearing alongside Alison Hammond and Dermot O’Leary via video link, the trio aimed to help the inflation-fighting general public with energy bills, after prices rose by around 54% on April 1, 2022.
As many people across the UK fear they will be pushed into poverty due to the cost of living crisis, Money Saving Expert founder Martin is doing everything in his power to help those who have need the most help – reports The Liverpool Echo.
Read more: Martin Lewis gives 10 tips for surviving the cost of living crisis as energy bills soar
Today he issued a dire warning to households about flat rates. He said they would see a big increase in bills when their current rates end. Beth emailed the show asking what she can expect from energy price increases if she’s already on a fixed-term tariff.
Martin replied, “If you have a fixed rate, then you’re locked into a fixed rate, so whatever you’ve heard about the price going up just doesn’t affect you. If you have a fixed rate, the amount you pay – unit charges for gas and electricity and permanent charges – are fixed until the end.”
He went on to warn him, saying, “Now almost certainly when this ends you’ll see a very, very big increase in what you pay because you’ll go through the price cap – the norm as we know that was up 54% on Friday and that was on top of a 12% increase last October.
“If you corrected before that, you’re going to see a very big increase.”
The money expert added: “But, until that happens, you’re locked in. The only thing that can change is if the company you’re working with changes the estimate of how much you’re working with. you’re using because you’ve used more. If you’re in credit, this shouldn’t happen, but if you’re in debt, it could very well. This could see how much you’re paying each month.
“While you’re on the fixed, the unit rates are locked in until the end. The only thing that could stop that is the energy crash.”