Amidst ongoing cost of living challenges, financial journalist and founder of MoneySavingExpert.com, Martin Lewis, has reiterated seven key pieces of advice he believes every household in the UK should follow. These recommendations cover various aspects of personal finance, from energy bills to government benefits, aiming to empower individuals to make substantial savings.
One of Lewis's primary recommendations focuses on energy bills. He advises consumers to regularly check their direct debits and ensure they are paying the correct amount, particularly as energy prices have fluctuated significantly over the past two years. Overpayments can tie up vital funds, while underpayments could lead to unexpected higher costs later. This advice comes as the energy price cap continues to be a major concern for many households.
Another critical piece of advice involves utilising free online benefits calculators. Lewis stresses that millions of pounds in government support go unclaimed each year because individuals are unaware of their eligibility. Tools from organisations like Turn2us or Policy in Practice can help people identify benefits such as Universal Credit, Pension Credit, or Council Tax reductions, which could provide a significant boost to household incomes.
Reviewing broadband and mobile phone contracts is also highlighted as an area where many consumers could save money. Lewis suggests that individuals often remain on outdated or uncompetitive tariffs long after their initial contract period has ended. Shopping around and negotiating with providers, or switching to a new one, can often lead to substantial monthly savings. Similarly, he advises checking water tariffs, noting that many households could be eligible for social tariffs or metered billing if they use less water.
Furthermore, Lewis encourages a broader 'money makeover' approach. This involves a comprehensive review of all outgoings, from insurance policies to bank accounts, to identify areas where savings can be made or better deals secured. He consistently advocates for proactive financial management rather than passively accepting existing arrangements, especially in an inflationary environment where every pound counts.