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Hello and welcome to a special mini episode of the Martin Lewis podcast to update you after we got the energy price cap news this morning from OffGEM.

I'm afraid the news is both good, bad and ugly.

And is there a better way for me to do a podcast update than quite simply to play you the interview I did on Five Live Breakfast this morning.

Here you go.

A typical household's annual energy bill will fall by £122 in July under the new price cap announced by the regulator off gym.

It means an average household using a typical amount of gas and electricity will pay just

over £1,000 a year. Martin Lewis is here to explain what it means and you can listen to his

podcast, of course, on BBC Sounds. Martin, good morning. Good morning, yes. I've got the good,

the bad and the ugly of the announcement today, unfortunately. I'm afraid it is not

an unvarnished good what we are hearing. Okay, so let's just strip it back to basics for some of

our listeners. How does the energy price cap actually work? So the energy price catholic is set by

off chairman. It dictates the maximum amount that energy providers can charge for their standard

tariffs. Now, around 80% of the country, 80% of homes in England, Scotland and Wales are on

those standard tariffs. And when it dictates the maximum charge, pretty much every energy firm

charges the maximum. So it actually dictates the rate that the vast majority of people are paying.

Unless you're on a fix or a special tariff, you are on the

energy price cap, this affects you. If you're not sure, you're almost certainly on the energy

price cap. So the news this morning, the energy price cap moves every three months, is that from

the 1st of July, the average energy price cap will be dropping around 7%. I don't like using the typical use figure. I think it's completely nonsense.

No one is a typical user or virtually no one. So instead I would phrase it like this.

For roughly each £100 you pay now, you'll pay £93 from the 1st of July until the end of

...