Martin Lewis: DO NOTHING

Former_MSE_James_F

Martin Lewis has reiterated his warning that most households should continue to do nothing with their energy and should stick with the price cap. It comes in response to news that it will shoot up by 54% in April. Watch the latest episode of The Martin Lewis Money Show Live for the MoneySavingExpert.com founder's view, as well as an explanation of the Government's new £350 energy bills support package. 

Read the full story here:
'Martin Lewis: DO NOTHING is still the answer for most households' energy supply - stick with the price cap and don't fix'

Click reply below to discuss. If you haven’t already, join the forum to reply.

PennineAcute

If my estimated usage until 30.9.22 is correct, I made the right decision in fixing when I did.  If I had listened to Martin's advice back in December and last month, come October I would be around £80 worse off.

For most people, his adivce may be correct.  For some, it may not be.

QrizB

PennineAcute said:

For most people, his adivce may be correct.  For some, it may not be.

I agree. The forum is full of people who have been offered fixed rates; some of those are substantially cheaper than the April cap will be.
I think this advice is misguided. It's not always wise to take advice from TV personalities or "influencers".

Astria

Agreed, I fixed at the end of last year despite the advice being "Do nothing", and I'm pretty much glad I did now!

Dogbyte009

Same here, I fixed last November when prices were starting to creep up. Wavered at the time but it's looking like a shrewd move now.

What_time_is_it

I think it's very possible that high gas users will be able to find a decent fix that may well be the best option. Particularly 2 year fixes.

Given that the 54% increase is actually more like an 80% increase in gas and a 30% increase in electricity, I'd like to see more nuanced advice from Martin Lewis.

saintscouple

My tariff is ending this month. I'm in the south east and have been offered a fixed deal till June 2023. 

I have an EV.

Electric SC 22.61p Unit Rate 27.19p
Gas SC 22.61p Unit Rate 7.22p

Am i correct that this marginally better than the new capped rates? 

ProDave

I am sure his advice was do not fix unless you are offered a fixed rate no more than 40% above the current capped price.  Most fixed rates on offer were higher than that, but some lower fixed rates were on offer.

I took one with Octopus.  As it turns out the fixed rate is only a fraction under the April cap, but it will still protect me from a much higher daily standing charge and protect me from any further rise in July, October or January (price cap is now going to be renewed every 3 months)

PennineAcute

saintscouple said:

My tariff is ending this month. I'm in the south east and have been offered a fixed deal till June 2023. 

I have an EV.

Electric SC 22.61p Unit Rate 27.19p
Gas SC 22.61p Unit Rate 7.22p

Am i correct that this marginally better than the new capped rates? 

As the capped rate is formed from 2900 kWh of elec and 12000 kWh of gas, using your figures this gives a total of £1819.96, which is less than the April 22 cap.

kk20

Depends when you looked.  Some of us were caught up in various companies going bust, the deals might not have been around at that stage.

jiggy2

saintscouple said:

My tariff is ending this month. I'm in the south east and have been offered a fixed deal till June 2023. 

I have an EV.

Electric SC 22.61p Unit Rate 27.19p
Gas SC 22.61p Unit Rate 7.22p

Am i correct that this marginally better than the new capped rates? 

Hi Saintscouple,

I fixed yesterday with EDF on their GoElectric Jun 2024 tariff:

Electric - SC - 32.9p Unit rate 25.09p. Rates are including VAT.

Two downsides:
Tied in for over 2 years  
Exit fee - £100 (although if the cap remains at the April 2022 level for 6 months, that exit fee should be covered based on estimated usage, so would be no worse off compared to SVT if i jumped then)

No gas (we are on oil).