economy
Cost of living: how to prepare for the ‘awful April’ shower of bill increases
From council tax to water, broadband to stamps, costs climb again from next month…. and that’s before any knock-on effects from Iran war
TL;DR
- Annual household bills are set to increase by over £200 in April.
- Council tax accounts for more than half of the average increase, with rises of around 5% in England and Wales.
- Water bills in England and Wales will rise by an average of £33, with Scottish Water increasing bills by £42.
- Broadband and mobile bills will see average annual increases of £39.60 and £27.60, respectively.
- TV licence costs are rising by £5.50 for colour and £2 for black and white.
- Car tax (Vehicle Excise Duty) will increase by £5 for most drivers, and the exemption for electric cars has ended.
- First-class stamps will rise by 10p to £1.80, and second-class stamps by 4p to 91p.
- The cost of an online adult passport will exceed £100.
- Positive news includes increases to the National Minimum Wage, State Pension, and some benefits like Universal Credit.
- The two-child benefit cap will be removed, allowing claims for all children.
- Household energy bills will temporarily dip in April due to a price cap reset and removal of green charges, but are predicted to rise significantly from July.
- Government support for future energy bill increases is expected to be targeted rather than universal.