Consumer expert Martin Lewis has issued a strong warning to everyone to review their household bills and subscriptions to avoid overpaying. Speaking on his recent BBC podcast, Lewis invited listeners to share their experiences of being “financially burned” by service providers, revealing alarming stories of customers paying far more than necessary—even when loyal to the company.
Co-host Adrian Chiles shared his personal example of spending £550 a year on breakdown cover with a major provider, only to discover new customers were paying just £100 to £150. Lewis emphasized that breakdown cover is one of the most “haggle-able” services and strongly advised consumers not to simply renew policies without negotiating a better price.
He highlighted the practice of “price walking,” where companies incrementally hike prices for existing customers, leaving them paying significantly more over time. Unlike the insurance industry, breakdown cover lacks protective regulations, which particularly harms elderly and vulnerable individuals.
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Lewis expressed concern about those who might struggle in later years due to inflated costs. One listener recounted how their elderly mother’s auto-renewed car insurance bill had climbed to over £1,100 annually, despite equivalent cover being available for just £197—a difference of more than £900. Lewis called this “market abuse,” stressing the importance of regular price checks.
Other stories included pensioner relatives paying nearly £60 monthly for two SIM cards before switching to a deal costing just £8 per month. Another listener discovered they could reduce their decades-old life insurance costs to a quarter of what they were paying, after using a comparison website.
Lewis explained that much of life insurance costs are tied up in commissions, which can amount to tens of thousands of pounds over the lifespan of a policy.
Additionally, a listener shared how they overpaid by £1,500 on a boiler replacement after contracting a company that subcontracted the work. Had they approached the tradesperson directly, they would have saved a significant amount.
This collection of real-life cases underscores the importance of regularly reviewing bills and contracts to avoid being taken advantage of and paying “massively over the odds.”