Martin Lewis outlines simple way to cut your energy bill after Ofgem update

Martin Lewis said shopping around and moving to cheaper fixed-rate deals can reduce household energy costs, noting Ofgem’s price cap will fall by an average 6.7% from April. He added that many fixed deals are already below the cap and that most fixes will also drop on 1 April.

Martin Lewis has highlighted a straightforward option for households to lower their energy costs as Ofgem reduces the price cap. The regulator’s update will cut the cap by an average 6.7% from April. Lewis noted the published annual saving figure refers to a 12-month period while the cap is next reviewed in three months. Known details: - Ofgem’s price cap is set to fall by an average 6.7% from April. - The published £117 saving is calculated over 12 months, while the cap is reviewed every three months. - The price cap applies only to suppliers’ standard variable tariffs, which cover more than 60% of homes. - Most fixed energy deals are expected to fall on 1 April, with the cheapest typically dropping around 7% to 9%, depending on usage. - The article notes the cheapest fixed deals are currently about 14% below the existing price cap, and some smaller suppliers may see smaller reductions due to past exemptions. Summary: The April changes alter the baseline for household energy costs and are reported to reduce both the price cap and many fixed tariffs. Officials and analysts cited in the article say the April cap will serve as the new benchmark and most forecasts expect it to remain within a few percentage points for the rest of the year. The price cap will be reviewed again in three months.