Martin Lewis, founder of Money Saving Expert, has published a list of 21 tips to help consumers cut energy costs ahead of a predicted "horrendous" January price cap rise. Forecasters expect the cap to jump again in January, increasing the typical annual family bill mainly due to the ongoing conflict in the Middle East and constraints across oil and gas supply chains. Market data forecasts a rise from £1,723 to £2,211 for households on standard variable tariffs.
The government has already confirmed plans to axe standing charges from gas bills, which would save anyone with a gas supply £108 a year. However, Lewis said the real "nightmare" is that Ofgem is set to hike average energy bills by another 27% in January following rises in wholesale gas costs, meaning the current £1,723 illustrative figure would rise by another £465.
Energy efficiency checklist
Lewis said that "as we kick towards winter, the predictions for the January Price Cap (Eng, Scot & Wales) are horrendous - the average is currently a 27% rise," and shared a detailed energy-efficiency easy-wins checklist. The tips include a Warm Homes Loan Scheme offering low or no interest for solar panels, heat pumps, batteries and other renewables, as confirmed at the Budget. He noted that most options remain below the cheapest personal loan rates on the open market.
Other tips include taking the combi-boiler flow-temperature challenge, which can cut gas bills by 3%, and lowering the boiler's hot water temperature setting, which is separate from the radiator temperature. Lewis also advised checking fridge and freezer temperatures, recommending fridges at 3 to 5°C and freezers at -18°C, and using tactical curtains to let sunlight in during the day and close them at night to reduce heat escaping.
Practical savings and support
The list also covers dropping the thermostat by a degree, noting a cut from 21°C to 20°C could save a typical home £120 a year, and warns against putting hot food in the fridge, advising to cool leftovers within one to two hours. Lewis highlighted that a £25 hot water cylinder jacket can save £50 a year by reducing heat loss by up to 75%, and cautioned that tumble dryers can cost 50p to £1.50 per load unless they are modern heat-pump models.
Draught-proofing is described as one of the cheapest and most effective ways to save energy, with suggestions including homemade draught excluders and bubble wrap on cold bathroom windows. For those on lower incomes, cavity wall insulation can cost around £2,200 to install but save up to £380 a year, while loft insulation costs around £750 and can save up to £360 a year. The Warm Homes: Local Grant scheme may help households in England with income under £36,000 or certain means-tested benefits and an energy performance certificate rating of D to G.
Lewis advised anyone struggling to pay energy bills to talk to their energy firm, explain if they are vulnerable, and ask to be put on the Priority Services Register.
