There may not have been much in the Spring Budget to help the over 50s, especially those who are no longer working, but there are still financial changes afoot.
Essential bills are going up and down from the start of April, and when it comes to things like broadband, mobile contracts and even stamps, the hikes are imminent.
Sarah Coles, Head of Personal Finance at Hargreaves Lansdown, says: “April always holds bad news, because so many organisations save up their price hikes for one big, horrible hit.
“This year we don’t have the pain of energy price rises, because the price cap actually fell. However, we’ll still be hit by council tax rises, water bills [going up], TV licence fee increases and mid-contract hikes on mobile and broadband deals.”
While we’re starting to, sadly, get used to the price of things increasing regularly, if you know what to expect there are still things you can do to ensure you’re spending as little as possible.
Councils in England have now decided how much they will raise council tax by in April – many of us have already been sent letters with the amount we’ll be paying for the year ahead.
Most councils are raising bills by the maximum amount allowed (without a referendum) of 4.99%.
It means the average Band D household will have to find a further £103 over the year. Of course, how much you’ll pay depends on which local authority area you live in.
Councils say the rises are necessary to protect vital services and help stop more local authorities from going bust.
In Wales, proposed increases vary from 5% to 13%, and between 4% and nearly 10% in domestic rates in Northern Ireland. In Scotland, council tax is frozen until next year.
While many may understand that local authorities face a funding shortfall, it’s still a bitter pill to swallow.
Sam Richardson, Deputy Editor of Which? Money, said: “As millions of households brace for a substantial surge in their council tax bills this April, with many councils set to bring in the maximum increase, making ends meet may feel more challenging than ever.
“If you are living alone, with students, providing care, or residing with individuals in specific circumstances, it’s worth checking if you are eligible for a council tax reduction.
“Similarly, in some instances, you might receive a council tax bill that seems unfair or inaccurate - for example, if you have not been given a discount that should apply. In such cases, you may have the option to appeal it and potentially secure a refund."
If you live alone, you can get the single person discount of 25%. You won’t get this automatically – you’ll need to apply.
Coles says: “Some people are ‘disregarded’ when you’re calculating how many people are in the house. This includes under 18s and students, so check you’re not paying for anyone you shouldn’t.
“There are also discounts for those with a severe mental impairment like Alzheimer’s, certain full-time carers for people with disabilities on specific benefits and people on Pension Credit.
“The discount will depend on who lives in the house, so you may need to check whether you qualify, and how much you can save. The best place to start is the government website. ”
Thankfully, some measures will put money back in your wallet.
The Budget froze the 5p fuel duty cut, which should be good news for motorists. That said, many claim the price of fuel is on the up anyway and the freeze will make little difference.
Alcohol duty was also frozen, meaning the cost of heading to pubs and bars of an evening won’t be rising either.
Thanks to the triple lock commitment there will be an 8.5% uplift in the State Pension from April 2024, giving those who receive the full New State Pension an extra £17.35 a week.
Energy bills are finally set to fall in April too. The price cap – based on the usage of an average household – will fall from £1,928 a year to £1,690 on April 1.
The price of postage stamps will go up by 8% on April 2, adding 10p to the price of posting a first- or second-class letter.
It will cost £1.35 to post a letter first class and 85p to send it second.
It’s the fourth rise in four years and is due to cost increases and the fact that fewer people are sending letters, according to the Royal Mail.
The price of signed-for, tracked, and special delivery services will also rise.
However, if you enjoy writing letters or never miss a birthday, there are things you can do to cut your costs.
Richardson said: “One way to beat the Royal Mail rise is to get ahead and buy stamps before April.”
If you stock up on barcoded stamps ahead of the rise, you'll still be able to use them after prices increase. If the stamp says the postage class, rather than having a price on it, it’ll still be valid.
He adds: “Alternatively, while Royal Mail continues to be regarded as the cheapest way of sending cards, letters and small parcels weighing less than 1kg, there’s always the option to shop around and compare discount courier services such as MyParcelDelivery.”
You may already have been notified that your monthly broadband or mobile phone bill will be going up in April.
Around 11 million broadband and 36 million mobile customers will experience an inflation-linked price increase in April.
April price rises are expected to add an extra £27.19 and £24.23 annually to broadband and mobile bills respectively.
The rise is tied to the Consumer Price Index or Retail Price Index inflation rate, published at the beginning of each year, plus around 3% that providers add to cover their own costs.
Most providers are raising prices by 7.9% from next month, but Virgin Media is increasing tariffs by 8.8%.
You can find a full list of broadband price rises over at Uswitch, along with those companies that don’t push prices up mid-contract, which tend to be smaller providers.
Around 4.2 million consumers are out of contract on their broadband and are therefore free to switch providers now if they wish to escape potential upcoming price increases.
The majority still in contract will not be able to avoid the pending price hikes without paying a penalty exit fee - but there are still options for many.
Sky Broadband, Direct Save Telecom and Now Broadband all allow customers to leave penalty free if they wish within the 30-day window of the price rise announcement - although this does not apply to Sky TV customers.
If you are still within your broadband or phone contract, find out when your deal ends, then search a comparison site to seek out a better price ahead of that date.
If you’re happy with your provider, try haggling to get them to match the best deal you can find elsewhere.
Richardson said: “Switching to a new provider when you come to the end of your broadband or mobile contract remains one of the best ways to ensure you are getting a good price. Keep an eye out for enticing incentives on offer to sweeten the deal when you make the switch, such as vouchers and reward cards.
“However, a big problem is that many customers face being trapped this spring as they are presented with a lose-lose choice between unfair mid-contract broadband and mobile price rises or crippling exit fees.
“Fortunately, Ofcom has proposed banning this practice after a Which? campaign but this won’t be in place in time for April 2024.”
To keep the cost of your mobile down you’ll be able to save the most by keeping your old handset, and finding a decent sim-only deal, when your contract comes to an end.
If you’re struggling to pay your bill, talk to your provider to find out if you are eligible for its social tariff, which is available to people on certain benefits, and currently goes underclaimed.
Water bills are set to go up by just over 6% from this month in England and Wales, which the water companies say is to fund improvements in the system.
That's a rise of £27.40 a year on average, but bills will rise by a £36 average in Scotland. The exact price depends on your water company and where you live.
Coles says: “If you’re trying to cut your water bills, it’s worth considering a water meter. As a rough rule of thumb, a normal user with more bedrooms than people in the house – or the same number – could be better off with a meter, so they only pay for the water they use. It also gives you the opportunity to cut your water use and save money.”
You can use the calculator on the Consumer Council for Water website to check if you might be better off with a meter.
Simple water-saving measures include swapping baths for showers, and cutting your shower time, which will also save on energy bills.
Fixing dripping taps and using water-saving devices, like cistern bags that reduce the amount of water you flush down the loo, can help too.
If you have a number of school-age children in your household or need to use a lot of water for medical reasons, you may get extra help under the Watersure scheme, which you can apply for through your water company.
The annual cost of a standard colour TV licence will rise to £169.50 from 1 April 2024 – an increase of £10.50 on the current price of £159 a year.
This was supposed to be higher, after two years of freezes, but the government capped the price rise amid a review into the license fee itself.
It used to be that you could get a free TV Licence after your 75th birthday, but this was stopped in 2020, and now you can only get a free licence if you are over-75 and receive Pension Credit.
Note that the above benefit, for those over State Pension age and on a low income, is one of the most underclaimed, so it’s worth checking with the Independent Age helpline (0800 319 6789) to find out whether you’re eligible for this or any other payment.
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