Martin Lewis shares how you can ‘beat’ the energy price cap
Martin Lewis this week shared how Brits can “beat” the energy price cap.
Speaking on the Martin Lewis Money Show on Tuesday he said: “Everyone or almost everyone can beat the price cap by three per cent because the E.ON Next Pledge is a very good tariff and existing customers can switch to it on direct debit and it is three per cent below the price cap.
“So if the price cap drops, it drops, if the price cap goes up, it goes up but it’s always three per cent cheaper for a year, so it’s an easy simple win.”
The E.ON Next Pledge acts as a variable tariff that always provides a 3 percent discount on the energy price cap.
Martin Lewis reveals five key points as new price cap announced
Britain’s resident money saving expert has revealed the five key facts you need to know as Ofgem cuts the energy price cap.
Taking to X he wrote:
- Prepay’ll be CHEAPEST way to pay
- Standing charges RISE to £334/yr
- Switching likely to restart 1 Apr as Ofgem changes background rules
- Brit Gas Price Promise no longer looks as good
- Cut 3% off the Cap
What temperature to run your washing machine at to save money
To save on your energy bills, experts suggest lowering the temperature at which you wash clothes.
You’ll still be getting fresh and clean clothes if you switch from a 40C wash to a 30C one and it could save you £12 a year on average, according to Energy Saving Trust.
If you use your washing machine a lot, you’ll save even more if you lower the temperature.
Uswitch energy expert Will Owen previously told The Sun: “Use a cold water or 30C cycle where possible. It’s only for particularly dirty clothes, bad stains or underwear that you are likely to need warmer temperatures.”
Why are standing charges going up?
Standing charges will rise as part of Ofgem’s new energy price cap.
Taking to X, Martin Lewis explained why this is the case.
He wrote: “Much is electricity distribution costs (a standard inflationary rise) some maybe bad debt provisions (which have gone up due to so many who can’t pay – but I don’t yet know if that’s been put in the standing charges.)
“Also this time, some of the rise is due to the prepay/direct debit equalisation. To cut prepay standing charges by £52/yr, Direct Debit had to rise £10/yr.”
Reduce heating bill by 10% by turning it down by one degree
You can reduce your overall heating bill by 10% by turning it down by just one degree, according to Energy Saving Trust.
If you are able to brave the cold a bit more – you can shave more than £380 off your energy bills if you turn your thermostat down by three degrees from 23°c to 20°c.
The World Health Organisation suggests that most healthy people should heat their homes to 18°C, so you could save even more by reducing it even further.
Small appliances that could be leaving you out of pocket
There may be some appliances around your home that are costing you more than you thought if you leave them plugged in.
Just having your computer on standby could be setting you back £95 a year, with your TV costing £24.
Despite using your Wi-Fi the majority of the time, when you aren’t, the router could be costing £19.
Microwaves are costing households an average of £16 per year when plugged in and game consoles cost £12 when left on standby.
Meanwhile, your printer can cost £20 so make sure you are unplugging any appliances when you aren’t using them.
