Martin Lewis calls energy price cap hike 'devastating' and warns 'lives will be lost'
26.08.2022 - 12:35
/ dailyrecord.co.uk
Martin Lewis has called the new energy price cap "devastating" and has warned that "lives will be lost", as rising costs will put vulnerable people at risk.
The MoneySavingExpert founder was "shocked" by the latest increase, after energy regulator Ofgem announced yesterday an 80.6 per cent price cap rise.
The news has put many Scots under pressure who are already dealing with a crippling cost of living crisis, with many worrying the energy costs will thrust them into poverty.
In fact, there have already been several bombshell reports published on how the rise will severely impact those who are already struggling.
On October 1, the new cap will come into force for for around 24 million households on default energy tariffs in Scotland, England, and Wales, and will remain in place until December 31, when it will be adjusted again, reports the Mirror.
The 4.5 million pre-payment meter customers, who are often the most vulnerable and already in fuel poverty, will see an even more punishing increase, with their average annual bill set to go up to £3,608.
In April the price cap skyrocketed by 54% from £1,277 to £1,971 per year for people who pay for their energy via direct debit.
The £693 increase was driven by a record rise in global gas prices over the previous six months and a quadrupling of wholesale prices in the previous 12 months.
Mr Lewis, speaking on the Today programme on Radio 4 this morning said: "I've been accused of catastrophising. The reason I’ve been catastrophising is because this is a catastrophe.
"It's staggering we've allowed this announcement to be made…and still no help has been announced. It’s catastrophic. It's not good Government, it's not good politics."
Speaking to Good Morning Britain he went on to