Energy bills are set to rise by 13% in July, but Martin Lewis, founder of MoneySavingExpert, says the increase is not unavoidable for everyone. In a clip shared on his official TikTok, he explained that millions of households have more control over what they pay than they realise.
The price cap only affects households on a standard default tariff, which Lewis estimates covers around 60% of homes. Those on a fixed or special deal are not subject to the cap and will not see the July rise in most cases. 'If you're on a fix or a special deal, you're not price capped, so you're not going to see that rise,' he said.
For those on the default tariff, Lewis pointed to an opportunity: the cheapest fix currently available is up to 3% cheaper than the April price cap. With the cap predicted to rise further in October and remain elevated until around March 2027, locking in a fix now could forestall all those increases. 'If you lock in a cheap fix right now, if you're on the price cap, you are forestalling all those price hikes and you're saving in the meantime,' he said.
Lewis also warned that some comparison sites hide the cheapest tariffs, meaning people may switch and still not get the best deal. He advised listeners to his podcast for guidance on navigating the process and avoiding pitfalls.
The current price cap is £1,641 a year for a typical dual fuel household paying by Direct Debit. A 13% rise in July would push that to around £1,849, with further increases expected. For households that lock into a fix now, the combined saving compared to staying on the default tariff could be significant over the year.
Financial aid experts Vettory added: 'Martin's point about the rise being voluntary is an important one. Most households accept energy price increases as something that just happens, but the option to lock in now and avoid the coming rises is real and worth looking into.' With July only weeks away, the window to act is narrowing.
