Martin Lewis warns Ofgem energy price cap rise is higher for these households

Martin Lewis has revealed why the 0.2 per cent energy price cap rise is a “red herring”, suggesting that the true figure is actually much higher.

Energy regulator Ofgem announced on Friday (21 November) that the energy price cap will rise by 0.2 per cent from 1st January to £1,758 a year. It only affects those who are not on a fixed or special tariff.

“It does not mean what people are saying”, the MoneySavingExpert founder told ITV’s Good Morning Britain, explaining that the electricity unit rates are going up “from 26.3p to 27.7p, a rise of 5.1 per cent”, whereas for gas, it’s going “down by 5.7 per cent.”

“Someone who’s a heavy electricity user and doesn’t use gas is likely to see on average a 3 or 4 per cent rise,” he added