Martin Lewis urges ‘zombie government’ to cut energy bills NOW – all the help you can get
MARTIN Lewis has today urged the government to take action to tackle the cost of living crisis as households are warned of £4,000 energy bills.
The consumer champion has warned of extortionate hikes to energy bills in October on Radio 4’s Today programme.
Martin said: “Under the October price cap, prices will rise by 77% -meaning those on typical use will see their bill hit £3,500.
“Hikes like this will throw households into desperate situations.”
Martin said the political fallout following Boris Johnson’s resignation isn’t helping the situation.
He said: “We have a zombie government that can’t make any big decisions.”
READ MORE IN MONEY
Households are grappling a crippling cost of living crisis – millions are paying out £2,300 more than a year ago on energy bills alone.
And that’s before you factor in other rises to broadband, fuel and food bills.
With bills forecast to hit £3,500 in October, Martin said the cost of living support package announced in May will not be “sustainable for the poorest homes”.
The cost of living package worth up to £1,5000 still doesn’t cover the extra £900 rises to energy bills seen since last October.
Most read in Money
Martin urged Boris Johnson, Liz Truss and Rishi Sunak to sit round a table and take collective action now to give people some rest bite before energy bills spike in October.
Martin said that green levies and policies to cut VAT are trivial and largely unhelpful.
Instead he urged the the government needs to actively cut prices or put more money into people’s pockets.
Households can get up to £1,650 in cost of living support
Since March, the ex-Chancellor Rishi Sunak introduced a range of new support packages to help people across the country with the cost of living.
Depending on your circumstances you may be entitled to over £1,000 in support.
From money off your energy bills to the £150 council tax rebate in some cases you’ll have to apply for the cash – so make sure you’re proactive.
However, this support package was introduced at a time when the energy regulator Ofgem warned household that energy bills will soar to £2,800 in October – recent forecasts suggest households will have to pay another £700 on top of this.
On benefits? You’re entitled to a £650 cost of living payment
To get the £650 payment, you will need to be in receipt of any of these eligible benefit payments as of May 25 this year, or have started a claim by this date and later be successful:
- Universal credit
- Income-based jobseeker’s allowance (JSA)
- Income-related employment and support allowance (ESA)
- Income support
- Pension credit
- Child tax credit
- Working tax credit
The total cost of living support is £650 but as it’s been split into two lump sums.
The Department for Work and Pensions (DWP) started paying the first half, worth £326, to those eligible on Thursday (July 14) – but it’s unlikely everyone will be paid the cash at the same time and you could be waiting until the end of the month.
You’ll have to wait until the Autumn to receive the remaining £324 on offer and the government are yet to announce any specific dates as to when this’ll be paid.
Every households will get £400 off their energy bills
The energy discount will be dished out to households from October and payments will be paid in instalments over the successive six months.
The £400 payment will be delivered via your energy supplier.
Direct debit and credit customers will see their money credited to their account.
While customers with pre-payment meters will have the money added to their meter, or they will receive a voucher.
Pensioners will get a one-off payment worth £300
The £300 “Pensioner Cost of Living Payment” will be paid in November or December.
The payment is targeted at the eight million households that receive Winter Fuel Payment – which is already worth £100-£300.
You’ll qualify for the payment if you’ll be over state pension (66 or above and lived in the UK for at least one day during the week of September 19-25.
Those on disability benefits will get a £150 payment
Six million disabled Brits will receive £150 to help with the cost of living in September.
These payments will be exempt from tax, will not count towards the benefit cap, and will not have any impact on existing benefit awards.
To get the cash you must be receiving one of the following benefits (or have begun an eventually successful claim for one, as of 25 May 2022):
- Armed forces independence payment
- Attendance allowance
- Constant attendance allowance
- Disability living allowance
- Personal independence payment
- Scottish disability benefits
- War pensioners’ mobility supplement
Households in council tax bands A-D get a £150 rebate
The rebate has been available to all eligible households since April 1 and local authorities have until September 30 to pay all eligible households.
Those who pay their council tax by direct debit should get the payment automatically.
Each council will have different systems, dates and processes to manage getting the payment to those who don’t pay their council tax by direct debit.
Most councils require that these households apply for the rebate on their local authorities website.
Applications allow your local authority to transfer the cash directly into your bank account.
If you didn’t apply in time, instead of being issued the £150 in cash, you’ll be credited the money to your council tax account and will see the amount come off your bill.
Read More on The Sun
Other councils have automatically sent households a Post Office voucher valued at £150 – which households can take to branch and withdraw the cash.
Other support available
- Households receiving council tax support could get up to £300 in a one-off cash payment.
- Parents can get up to £200 towards school uniform costs.
- Councils are offered £500 million worth of food and shopping vouchers through the Household Support Fund.