Liz Truss introduces 'energy price guarantee' to tackle cost crisis
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Money Saving Expert Martin Lewis translated the new energy cap news to his Twitter followers with a quick-fire ‘15 need-to-knows’ for households. The analysis comes as Liz Truss took to the House of Commons today to reveal her plans to help tackle the UK’s energy crisis.
Initially, the energy price cap was due to rise to an eye-watering £3,549 for those on typical use from October 1, a figure that was warned to send many more households into fuel poverty.
However, as one of her first moves as Prime Minister, Liz Truss has announced a new energy price guarantee, freezing bills at £2,500 a year for a typical household.
Off the back of prior briefing and the announcement in parliament today, Mr Lewis summarised the plan in 15 points for consumers.
Writing on Twitter, he penned: “New energy price guarantee – 15 quick need to knows for CONSUMERS. Please feel free to share…”
Kicking off the first of the 15 points, Mr Lewis outlines the new cap rules, stating: “The new price guarantee starts on October 1 and for someone on typical use will be £2,500/yr and it will last for two years.”
Putting the cap into perspective in point two, he said: “The current price cap is £1,971/yr rate at typical use, and was due to rise £3,549 (and likely £5,400 in January). It was £1,277/yr last January.”
Exploring the rules, his third point reads: “This will be a cap on standing charges and unit rates, so use less you pay less, use more you pay more (I’ll publish the rates when I have them). There is not a total cap on what you pay, the typical rate is just a figure for illustration.”
The full Twitter post can be found here.
More to follow…
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