MARTIN Lewis has explained why some people are being told their energy bills will be more than the energy price cap.

Ofgem anounced the energy price cap will increase by 54 per cent next month, costing UK households more than £600.

Energy prices will rise by £693 a year for millions of households after regulator Ofgem hiked the price cap on bills to £1,971.

Adding to concerns amid the cost of living crisis, consumer experts warn the cap could rise once again in October.

New costs for energy bills have confused bill payers who are being quoted for bills higher than the price cap. Money Saving Expert founder Martin Lewis move to explain why some people will be paying more.

Martin Lewis advices ITV This Morning viewers

Last week, Mr Lewis, answered questions from This Morning viewers, explaining that the cap is not on bill prices overall but on the unit prices.

Speaking alongside hosts Holly Willoughby and Phillip Schofield, he said: "What you hear talked about is the typical usage of what someone would pay, but if you use more, you pay more, if you use less you pay less.

“There is no absolute cap on the total amount of energy that you can pay for. If you have a huge house and you're using enormous amounts you can pay £10,000 or £20,000 a year.”

He continued: "It's a cap on the unit cost, and it actually varies regionally and the numbers that you will have heard [on the price cap], are just for someone on typical usage. It's the unit rates that are going up and [the price cap] is just an easy way to explain it."

The consumer rights champion will host a Cost of Living Crisis special of his Martin Lewis Money Show on Tuesday.