New Prime Minister Liz Truss has announced a £150bn plan to tackle soaring energy costs in the UK. The measures, announced on Thursday, will see the energy price cap scrapped in favour of an "energy price guarantee" effectively freezing the price cap for an average home at £2,500 per year from October 1.
The price cap was due to rise a whopping 80% next month from £1,971 to £3,549 but Ms Truss' announcement will mean the average home will pay just over £200 a month. The new leader said the measures would "curb inflation and boost growth" and help millions of people worried about paying their bills, despite the fact a typical home will still be paying around 95% more than they did last winter.
MoneySavingExpert Martin Lewis recently changed his advice on fixed-rate energy tariffs saying that no fixed tariffs are meaningfully cheaper than current deals but they will be if the predicted October hikes in price go ahead. However that has been updated again after Thursday's announcement if you're one of millions of people with a fixed deal.
