FINANCE expert Martin Lewis has slammed a UK Government tweet which claimed first time buyers in London could save over £12,000 as “nonsense”.
In a tweet published by the Treasury on September 29, the Government claimed that thanks to cuts to stamp duty and measures on energy bills “a typical first time buyer in London moving into a representative terraced house” would save £12,700.
However, after crunching the numbers the money saving expert tweeted to say that he has asked the Treasury to remove the post.
He said: “This is nonsense. To make that stamp duty saving you'd need to be buying a £500,000+ property.
“With 10% deposit, cheapest fix mortgage would cost £2,400/mth (£28,000/yr). How can someone on £30k afford that?
This is nonsense. To make that stamp duty saving you'd need to be buying a £500,000+ property. With 10% deposit, cheapest fix mortgage would cost £2,400/mth (£28,000/yr). How can someone on £30k afford that I am asking treasury to remove. https://t.co/xaay1rOBGT
— Martin Lewis (@MartinSLewis) October 3, 2022
“I am asking the treasury to remove.
“PS of course they'd never get the mortgage in the first place.”
The tweet has since been deleted from the UK Treasury Twitter.
It comes after Liz Truss repeatedly said that no household will spend over £2500 a year on energy bills.
During a series of local radio interviews on Thursday, the Prime Minister repeatedly said the “action we’ve taken on energy bills means people will face a maximum bill of £2500”.
However, Lewis once again had to correct the government’s claims.
He tweeted: “THERE IS NO £2,500 CAP ON ENERGY BILLS.
Pls share to stop confusion. THERE IS NO £2,500 CAP ON ENERGY BILLS. Instead the new 1 Oct guarantee, like the old caps, limits - Daily charge (28p gas, 46p elec) - & Unit rates (10p/kWh gas, 34p/kWh elec) So use more, pay more. £2,500 is just what someone with avg use'd pay
— Martin Lewis (@MartinSLewis) September 28, 2022
“Instead the new 1 Oct guarantee, like the old caps, limits - Daily charge (28p gas, 46p elec) - & Unit rates (10p/kWh gas, 34p/kWh elec)
“So use more, pay more. £2,500 is just what someone with avg use'd pay”
