Martin Lewis shares how to save thousands on bills in 2026
As the high cost of living continues to plague millions of people in the UK, many people are looking for ways to reduce their housing costs.
The slowing of inflation in January means prices are now rising more slowly – a trend economists hope will continue in coming months – but household bills remain a major expense following successive rises in recent years.
Energy, water, broadband and council taxes have increased since the Covid outbreak and remain stubbornly high into 2026. At the same time, the number of households struggling with debt has reached record levels, according to the latest analysis from Citizens Advice.
While these costs are necessary, they can be reduced in many cases. Money expert Martin Lewis has encouraged bill payers to use “money change” to quickly check where they might be overpaying and how to get a better deal.
Writing on the Money Saving Expert website, Mr Lewis said: “Taking a day to cut your bills could save many people £1,000 a year. And unless you’re earning £100,000, replenishing your money could be the next best way to put some extra money aside, something that’s really important during this cost-of-living crisis.”
“So check your bills NOW and see if you can save £100 on broadband, mobiles, food and more by going through your finances one by one to make sure you’re getting the best deal on everything.”
Here are the expert’s top six tips:
mobile contract
The cost of telephone contracts can vary greatly in the UK; This means some may pay as much as £200 more than others for a similar deal.
An estimated 14 million people across the country are out of contract, meaning they can leave their provider at any time and, in many of these cases, pay much more than they should.
The quick way to find out is to text “INFO” to 85075, toll-free. Mobile providers must respond to this with contract-related information, including the early termination fee. If this is £0 then the contract has probably ended.
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Get a free partial share of up to £100.
Capital is at risk.
Terms and conditions apply.
ADVERTISING
For those happy with their mobile devices, Sim-only deals can be found for as little as £4 per month.
One person told Money Saving Expert: “I took advantage of your deal with Lebara after disappointing service from my last provider. Saved £277 next year, get more data, better roaming, monthly contract and keep my old phone number. Very pleased. Thanks.”
Subscription status check
Getting a subscription is usually a quick and easy process, so much so that it can become difficult to follow.
From streaming services to fitness apps, more than a quarter (27 percent) of people have received a payment they thought they had canceled, according to the latest data from Compare the Market.
The first step in tracking down unwanted subscriptions is for people to check their direct debit and standing orders in their bank accounts. Any regular emergence that comes as a surprise must be combated.
Although these can be easily canceled through the bank, it would be wise for those paying the bill to contact the company first. They may still be under contract and therefore canceling the payment would be a violation.
There is a third form of payment called ‘Perpetual Payment Authority’ which is less common and will not appear in the same way as the other two. Of course, savers can look at their statements to spot unusual regular payments.
In the best cases, some companies may even issue refunds to customers who accidentally defaulted on their payments. One customer told Mr Lewis: “I found out I paid £10 for a second Netflix account. I contacted Netflix and they were very helpful and refunded me £70.”
Quick energy bill fix
Energy costs have been one of the fastest-growing expenses in the last five years as the combined pressures of Covid-19, the war in Ukraine and the cost of living crisis have caused rates to rise.
Ofgem’s energy price cap for January to April is currently £1,758, lower than at the peak of the pandemic but stubbornly higher than rates seen in 2021.
The energy price cap is the maximum amount energy suppliers can charge for each unit of energy for those with standard variable tariffs. It is expressed as the annual bill of an average house.
To avoid a cap, many experts, including Ofgem itself, have suggested households consider a fixed-tariff energy deal. Savers can currently secure a fixed deal for up to 14 per cent lower than the price cap.
Broadband deals
As with mobile contracts, up to seven million people are now off broadband contracts and may be saving more elsewhere.
It’s worth shopping online for the best deal; Mr Lewis estimates he could “double the speed and halve the price” of their contracts, saving millions of up to £500 a year.
For those on lower incomes and able-bodied benefits, there are also a number of companies offering social broadband plans for as little as £16 per month.
Cut council tax
Council tax is another cost that has seen huge increases in recent years as many cash-strapped local authorities try to recoup funds.
Tax charged locally is inevitable, but many people may not be aware that they can challenge the government on their property’s council tax band.
More than 43,000 people did so in 2024, with around 1,000 managing to lower their band by two or more places.
The analysis shows around 400,000 households are in the wrong group and could therefore pay too much council tax. If successful, a challenge may result in not only reduced future bills but also a backdated refund. One of the savers told Mr Lewis they had received refunds of £8,871 for incorrect taping dating back 28 years.
However, those interested should know that bands can rise as well as fall. In the worst cases, a challenge has resulted in the Valuation Office Agency increasing the band for an entire street of houses.
For the latest DWP updates and cost of living advice, visit The Independent’s regularly updated guide.
