Martin Lewis energy fix warning ahead of new price cap due to start in April

dailyrecord.co.uk:

Martin Lewis has issued a crucial energy warning to anyone considering fixing their tariff ahead of the new price cap starting on April 1.

Energy bills are set to fall by more than £300 a year from April following a drop in wholesale gas prices, according to Cornwall Insight.

The energy analysts predict that average household bills will fall by 16 per cent on the previous quarter, and could reach their lowest since Russia’s invasion of Ukraine.

It is forecasting that Ofgem’s price cap will fall from the current £1,928 to £1,620 from April - £40 lower than it predicted in December - and will remain lower for the rest of the year.Speaking on the latest edition of the Martin Lewis Money Show Live, the consumer champion said this was a “pretty firm prediction because we are three quarters of the way through the assessment period” but urged caution for those thinking about fixing their tariff.He explained: “The prediction right now is next Winter will be 20 per cent cheaper, the cheapest winter for a good few years, so what we have to look at what it comes to fixing is if this prediction is right - when you average it over the next year with seasonal adjustments to calculations I’ve done - it says that we will be paying on average 12.5 cent less over the next year than we do right now.“So, if you want to fix if that's right, you would want it to be around 12.5 per cent or more less and there are no fixers of that.“The very cheapest fix out there that you don't have to sign up to with other products too is Octopus for existing customers that's 9 per cent less than current rates.