This summer there will be a number of major money changes that will affect millions of people. The changes will affect energy bills, household costs and millions of benefit recipients.
It comes as households have seen some changes as early as 2024. These include sweeping changes for universal credit claimants and those applying for budget advances, announced by Jeremy Hunt in his Budget.
The upcoming changes for the rest of the summer will impact millions of people, including announcements about the energy price cap, inflation and changes to payment dates for people on government benefits. Here you will find all the money changes for the rest of the summer and how they will impact you. To receive the latest money stories straight to your inbox twice a week, sign up to our newsletter here.
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Bank of England interest rate decision – June 20
The Monetary Policy Committee (MPC) will review national interest rates on June 20. It previously decided to keep interest rates at 5.25%, the highest level in sixteen years. The Bank targets inflation of 2% and this fell to 2.1% in April, the lowest level since July 2021.
Changes to Debt Relief Orders (DROs) – June 28
This £90 charge has already been abolished in April this year and increases to the debt threshold and vehicle value will be implemented next month. The total amount of debt covered by a DRO will rise from £30,000 to £50,000, while the value of a vehicle a person can own when entering a DRO will rise from £2,000 to £4,000.
Take the meter reading before the new price limit – June 30
People should consider reading their meters before July 1, when the new energy price cap comes into effect. This can ensure that you don’t pay too much for electricity, thanks to the way energy companies calculate consumption costs. However, power companies do not require you to do this on that specific day and there is usually a few days after that.
HMRC letter for families receiving child benefit – June
Between now and July 17, parents receiving child benefit should receive a letter from HMRC asking them to confirm whether their child will continue in full-time education or training. Your continued eligibility for child benefit depends on whether you have a child under the age of 16 (or 20 if the child is in education or training).
You will be given a QR code which will take you to the gov.uk website to provide this information. If you don’t do this, you risk losing your payments.
New energy price ceiling – July 1
The new energy price ceiling for the average household bill will come into effect from 1 July. This is currently the case £1,568 per year for a typical dual-fuel household paying by direct debit, a reduction of £122 (7%) per year compared to the previous energy price cap.
However, people are being warned that bills could rise again later this year. You can read the full price cap outlook here.
Deadline for payment on account – July 31
Self-employed people must pay advances on their tax assessment before this date.
Inflation announcement – August 14
The inflation rate for July will be released, showing how much prices have risen.
Changes to DWP payment date – 26 August
August 26 is a public holiday, which means the DWP will not be sending out usual payments on those days. Employment agency offices and helplines will also be closed.
It means that people who receive certain benefits on those dates will in most cases receive their money sooner. However, this means you will have to leave your money longer until your next payment. The exact date changes have not been announced, but it is usually the working day before the holiday, which would be Friday, August 23.
Typically, the payment dates of these benefits are changed:
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