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    Bonus Mini-Pod: Energy Price Cap 7% fall – the good, the bad, the ugly

    enMay 24, 2024

    Podcast Summary

    • LA's Food Scene vs UK's Energy BillsLA offers diverse food options, while UK households can save £122 on energy bills with price cap, but need to shop around for best deals and be aware of expiration

      Los Angeles is known for its vibrant food scene, with many chefs claiming it has the best food in the US due to its cultural diversity. Meanwhile, in the UK, there's a mixed bag of news regarding energy bills. The energy price cap set by Ofgem will result in an average household saving £122 annually, but Martin Lewis warns that it's not all good news. The price cap only applies to standard tariffs, and many consumers may still be on more expensive deals. Additionally, the cap only lasts six months before being reviewed again. Overall, it's important for individuals to be aware of their energy usage and shop around for the best deals to save money in the long run. In the meantime, food lovers can explore LA's culinary offerings by visiting discoverla.com, while those looking to start a weight loss journey can speak with a board-certified physician through PlushCare for online consultations and prescription options.

    • Around 80% of homes in England, Scotland, and Wales are on the energy price cap. From July 1, 2023, the average energy price cap will decrease by around 7%.The energy price cap for 80% of homes in England, Scotland, and Wales will decrease by 7% from July 1, 2023, but standing charges, daily fees for having gas and electricity, remain largely unchanged, impacting those who use less energy the most.

      Around 80% of homes in England, Scotland, and Wales are on the energy price cap, which dictates the maximum charge for energy companies. From July 1, 2023, the average energy price cap will decrease by around 7%, meaning for every £100 you pay now, you'll pay £93 until the end of September. However, the standing charges, the daily charges for having gas and electricity, remain largely unchanged. The electricity unit rate drops from 24.5p to 22.36p per kilowatt hour, while the gas unit rate drops from 6.04p to 5.48p, a 9% cut. Despite campaigning for a reduction in standing charges, they remain at 60.1p a day for electricity and 31.4p a day for gas. The decrease in unit rates is good news, but the standing charges, which are a daily fee regardless of usage, can be particularly burdensome for those who use less energy, especially older people during summer months.

    • Energy prices predicted to rise by 12% in OctoberEnergy prices are predicted to rise by 12% in October, potentially impacting household budgets during the winter months. Stay informed and consider ways to reduce energy consumption and costs.

      Energy prices are predicted to rise by 12% in October, according to Cornwall Insight, leading to higher bills for consumers during the winter months. This increase follows a period of lower prices during the summer months. The energy market analysts, Cornwall Insight, have published a new forecast indicating that the October energy price will be significantly higher than the current price. This prediction is based on the rising wholesale price. If this rise materializes, it would mark the end of price cuts for the moment, with further increases expected afterwards. The energy market is known for its volatility, and price changes can significantly impact household budgets, especially during the high-use winter months. It's essential for consumers to stay informed about energy price trends and consider ways to reduce their energy consumption and costs. The prediction of price rises fits into the logic of governments announcing price cuts before elections, only to announce price increases later in the year. By August, there will likely be a clearer picture of energy price trends for the remainder of the year. Cornwall Insight is a trusted source for energy price predictions, but it's important to remember that these predictions are subject to change.

    • Energy price cap predicted to rise significantly in OctoberConsumers advised to consider fixing energy prices for cheaper rates before October's predicted increase

      The energy price cap, which determines the average price consumers pay for their energy bills, is predicted to rise significantly in October, potentially by as much as 12%, according to energy market analysts Cornwall Insight. This prediction is based on current market trends and the published algorithm used to calculate the price cap. However, the actual increase could be higher or lower depending on global economic and political events. During the assessment period for the October price cap, the government had planned to release new energy policies, but due to the upcoming election, these have become promises rather than actual policies. The energy market is currently facing issues and requires urgent fixing, and consumers are advised to consider fixing their energy prices to secure a cheaper rate than the predicted October increase. A one-year fix is currently 9% cheaper than the current price cap and provides peace of mind. Consumers can explore their options on comparison sites.

    • Consider fixing energy prices now for potential savingsIndividuals can save up to 9% by fixing energy prices now, potentially cheaper than October prices, despite market uncertainty

      The current time is a good opportunity for individuals to consider fixing their energy prices, despite predictions of potential price drops in the future. The energy price cap, which dictates standard variable rates, does not impact the rates that firms set when fixing. The price that firms set their fixes at is based on current market conditions. Therefore, it is impossible to predict the exact price of a fix in July. However, fixing now could result in savings of up to 9%, which could be significantly cheaper than the predicted October price. Alternatively, consumers could consider tariffs offered by companies like EDF and Octopus, which may offer savings that are not enormous but still worth considering. Overall, it is recommended that individuals take the time to research and compare different energy tariffs to find the best option for their needs and budgets. Keep in mind that offers and rates mentioned in the podcast may change over time, so it's important to double-check before making a decision.

    • Explore Los Angeles' Culinary DelightsDiscover new and delicious dishes by trying HelloFresh or visiting DiscoverLA.com for the best food in Los Angeles

      Los Angeles offers an extraordinary food scene, reflecting its rich cultural diversity. If you're tired of the same old meals, consider HelloFresh to bring new and delicious dishes to your table. Los Angeles is not only a hub for showbiz and arts but also a melting pot of flavors. Discover the best food in the US right now by visiting DiscoverLA.com. And if you're craving a change from your routine dinners, HelloFresh can deliver fresh ingredients and easy-to-follow recipes to your doorstep. So why not wake up your taste buds and explore the culinary delights of Los Angeles or enjoy a new meal every day with HelloFresh? Your favorite day is waiting for you!

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