From April 1, 2022, the energy price cap increasespotentially adding hundreds of pounds to energy bills across the UK.
The current price cap of £1,277 will increase by nearly £700 to £1,971.
What did Martin Lewis say?
To help clear up any confusion over spring price increases, his latest social upload follows a video explaining why your energy bill is likely to look like more than the price cap.
Martin shared a three-minute Tik Tok that captured the attention of over a million viewers.
His advice fell into three sections: prepaid users, direct debit users and the £150 council tax refund.
For prepaid users
Martin’s first tip is for prepaid customers, outlining how you can make your top-up go further, even after costs rise on April 1.
Martin said: “Ofgem has confirmed that you get the tariff on the day you top up and not when you use power.
“Now that means if you max out your recharge in March before the rate increases, that’s what you’ll get even if you then use that energy in April.”
He explains that this means you can extend the cheap fare you currently have for longer, but he warns you should only do this if you can afford it.
For direct debit users
For Direct Debit customers, Martin advises taking a meter reading as soon as possible, and another on March 31.
He said, “You’re going to draw a line and tell the power company, all that power that I used should be at the discount rate.”
He hopes tipping will help customers better understand when prices go up and what they’re paying now, so they don’t have to pay more than they should.
How to get the £150 council tax refund
The final piece of advice concerns the £150 council tax refund which will be introduced next month.
He said: “Anyone in council tax bands A to D will get a £150 rebate to help with energy costs.
“Well for the scheme, we are told that you will receive the money automatically paid into your bank account, as long as you pay council tax by direct debit.
To set up a direct debit, you will need to contact your town hall.
You won’t have to repay the money from this rebate, unlike the separate rebate you’ll get on your energy bill in October.
He also reminded those who weren’t eligible that the £140million discretionary fund was also being set up, meaning struggling households could still get help if they don’t get it. the discount of 150 pounds sterling.
He said, “Be prepared to affirm this,” signing the quick video.