In the wake of January passing, many are experiencing a financial reset post-payday. However, as February unfolds, there are notable money-related adjustments to take heed of. Notably, an increase in alcohol prices and a decrease in savings rates for Nationwide customers are on the horizon.
For those who missed the January 31 deadline, self-assessment taxpayers can anticipate instantaneous £100 penalties starting today. Additionally, February will bring the routine announcements regarding inflation and interest rates.
Alcohol duty is set to rise by 3.66% from February 1, aligning with the Retail Price Index (RPI) inflation. As a result, this hike will translate to an additional 11p on a bottle of Prosecco (11% Alcohol By Volume – ABV), 14p on a bottle of red wine (14.5% ABV), and 38p on a bottle of gin (37.5% ABV), reported by the Wine and Spirit Trade Association (WSTA).
Regarding self-assessment taxpayers missing the January deadline, a £100 fine will be enforced from February 1. Subsequently, penalties escalate to £10 per day, capped at £900, for those who fail to file within three months. After six months, a charge of 5% of the tax owed or £300 (whichever is higher) is imposed, with a repeat at the 12-month mark. Furthermore, late tax payments accrue interest if not settled by January 31.
On February 5, the Bank of England will convene for its initial 2026 meeting to deliberate on forthcoming interest rate decisions. Presently set at 3.75%, the base rate influences borrowing costs and savings interest rates. The Bank of England convenes every six weeks to determine the base rate.
Come February 10, Nationwide will implement rate reductions on 36 of its savings accounts in response to the Bank of England’s base rate adjustment to 3.75%. Various products, including easy-access accounts, ISAs, and children’s savings accounts, will be affected.
From February 14, Sky Mobile subscribers can expect price hikes, with most facing a £1.50 monthly increase, equivalent to an annual raise of £18. Individual bill adjustments may vary.
The Office for National Statistics (ONS) is scheduled to release the latest inflation figures on February 18. Inflation, currently at 3.4%, tracks price fluctuations over time, with the Bank of England targeting a 2% inflation rate.
Beginning February 23, customers experiencing delays or unsuccessful smart meter installations may receive £40 compensation. Eligibility for compensation includes delays exceeding six weeks for installation appointments, failed appointments due to supplier errors, and unresolved reported issues lacking a resolution plan within five working days.