Well-known money saving expert Martin Lewis has urged people to find alternatives to Ofgem’s price cap, which he described as being “pants”.
Lewis said that while he welcomed the 7% drop in the price cap, he pointed out that it was nothing remarkable. He said that all it did was reverse the rise of the cap in April, bringing it back to what it was at the start of the year in the depths of winter. Comparing prices year-on-year, energy costs from July this year will be 10% higher than they were in July to September 2024.
Lewis said:
“Compare these falls to the cheapest fixes on the market today[…]It was only ever meant to be a back-stop tariff for those unable to switch, yet during the energy crisis it effectively became a regulated price, and still today, 65% of homes are on tariffs dictated by the cap.”
He pointed out that some fixed deals are available priced as much as 18% lower than the current cap. This makes the upcoming 7% reduction in the price cap seem rather paltry. What’s more, a fixed tariff gives some temporary protection against potential price spikes.
Optimising your fuel bills needs a multifaceted approach that considers your tariff, household insulation and the efficiency of your heating system. Xgas can help with the last of these with a modern boiler installation in Wrexham and nearby locations like Chester. It also offers other services to optimise your current heating system, so get in touch to learn more.