Electricity bills are skyrocketing in the UK and Martin Lewis isn’t happy with that.

The savings expert The founder accused energy companies of charging customers with “outrageous” flat-rate exit fees.

Some providers may charge up to £ 600 to leave fixed bids, compared to £ 60 a year ago.

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But now Martin has called the allegations “the final nail in the coffin of dying energy competition.”

Energy company Outfox the Market is currently charging £ 600 to withdraw from the one-year fixed contract, up from a high of £ 67 in June 2021.

While EDF and Scottish Power charge £ 300 to leave their fixed two-year contracts, compared to £ 70 and £ 60.



Ampoule

Martin said, This massive and scandalous early exit quota is the final nail in the coffin of a dying energy competition.

“A lot of people are trying to decide whether or not to fix it right now.

“It is no longer a question of spending less, it is a question of paying more now, to avoid the increase that could come in October”.

Many families will try to enter into fixed agreements to avoid future energy increases.

However, if prices start to drop and cheaper deals become available, they won’t be able to save by moving away from fixed deals.

Some energy bills, such as Octopus Energy and E.on, are free of charge.

Martin said the “lack of transparency and visibility” makes it easy for companies to charge high exit fees.

He added: “It’s a pig’s ear and the regulator has to step in to change things.”



Turn down the central heating with a wireless thermostat

Families can avoid exit expenses by switching in the last 49 days of a fixed-term contract.

Some energy companies, including British Gas, do not charge existing customers a fee for switching to new offerings.

A spokesperson for Ofgem said its “top priority” was to protect consumers.

They said: “We expect providers to ensure that the rates are fair and that the rules are clear on what termination rates are allowed.”

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