The Budget announcement brought various changes set to roll out on specific dates. Here’s a breakdown of key updates:
– Alcohol prices will increase by 3.66% starting February 2026 due to a rise in alcohol duty.
– Rail fares in England will remain frozen until 2027, deviating from the usual annual increase.
– The two-child benefit cap under Universal Credit or Tax Credits will be removed by April 2026.
– State pension will see a 4.8% rise in April 2026, reaching £241.30 per week.
– DWP benefit payments will increase in April 2026, aligning with the previous September inflation rate.
– Car tax rates will surge in line with RPI inflation from April 2026.
– Energy bills are expected to decrease by £150 from April 2026.
– Minimum wage will rise to £12.71 per hour in April 2026 for workers aged 21 and over.
– NHS prescription costs will be maintained at £9.90 per item.
– The temporary 5p fuel duty reduction will revert to normal rates by September 2026.
– The cash ISA limit will drop to £12,000 for under-65s in April 2027.
– Tax rates on savings interest and property interest will increase from April 2027.
– Student loan repayment thresholds will be frozen from April 2027.
– Pensions will be subject to Inheritance Tax starting April 2027.
– Homes worth over £2 million will face a new surcharge from April 2028.
– Electric vehicle drivers will pay a mileage tax from April 2028.
– The Help to Save scheme for Universal Credit recipients will be permanent starting 2028.
– The freeze on tax thresholds will end in April 2031, preventing fiscal drag.
These changes signify a significant shift in various financial aspects affecting individuals and households.