MARTIN Lewis has urged some energy prepayment meter customers to consider stockpiling before prices rise next month.
Brits who prepay for their gas and electricity could save hundreds of pounds by topping up ahead of the planned hikes.
1
Energy prices are set to soar in April, adding £693 a year to bills for millions of customers.
But if you have a non-smart prepayment meter, you won’t have to pay the new rates until you top up.
That means any credit you have will be charged at the old, lower rate – delaying the price rise and saving you money.
However, many prepayment customers are on a low income so it might not be possible for everyone to pay a lump sum towards their bills.
You should also be careful if you chose to stockpile and don’t use more energy than you usually do as this could end up costing you more.
“Many with older, non-smart meters on price-capped tariffs can legally ‘stockpile’ gas and electricity credit before prices shoot up,” Martin said in the latest MoneySavingExpert newsletter.
Most read in Money
“If you can afford to, it could mean big savings.”
This tip will only work for customers on the standard variable tariff, which is protected by the energy price cap.
Unfortunately it’s not an option for households with a smart meter, as these are updated remotely with the new rates.
How can I delay the price hike?
You can delay the rise in energy bills by stockpiling credit before April 1 if you have a non-smart prepayment meter.
Simply work out how much you can afford to spend on bills now, and top up by that amount.
You will be charged the old rate even after the new price is implemented.
Some people won’t be able to use this trick, as it involves paying a lump sum up front.
Make sure to only top up by how much you can afford and don’t leave yourself short for other expenses, such as food and rent.
MoneySavingExpert said the tip works for most energy suppliers.
That includes British Gas, Bulb and E.on.
However, Scottish Power customers shouldn’t stockpile, as the company said it will reclaim the difference between prices.
Make sure you check with your supplier to see if they will continue to charge the lower price if you top up before the energy price cap rise.
What help can I get with my energy bills?
There is financial help available if you’re struggling to pay your energy bills.
First, you should make sure you’re getting all of the benefits that you’re entitled to.
You can use a benefits calculator to work out if you’re missing out on cash.
There are other schemes to support people with energy bills, including the cold weather payment and household support fund.
Meanwhile, the government has announced the every single household will get a £200 discount on their energy bill this year.
This is part of a package of support designed to help Brits struggling as costs rise and will be applied automatically, but not until October.
The money does have to be paid back, but it will be in the form of £40 added to annual bills over five years from next year.
We pay for your stories!
Do you have a story for The Sun Online Money team?
Most read in Money
