UK to see major financial changes in April

April will bring several significant changes to finances for many people in the UK. This includes pay increases, price hikes, and benefit adjustments. Starting on April 1, the National Living Wage will rise by 6.7%. This will increase to £12.21 for workers aged 21 and over. This means many workers will see an annual pay rise of around £1,400. Additionally, the National Minimum Wage will rise for younger workers from £8.60 to £10 per hour. Energy bills will also go up, with the energy price cap increasing from £1,738 to £1,849 per year. This is an average hike of £111 and affects about 22 million households on standard variable tariffs. Those on fixed tariffs will not see these increases. Another change on April 1 is higher stamp duty rates. First-time buyers will now have to pay tax on homes costing more than £300,000, down from £450,000. Regular home buyers will now pay tax on properties over £125,000, reducing the tax-free threshold significantly. Council tax is also set to rise, with many households facing increases of up to 15.6%. The average rise across England is estimated at 5%. Local councils can increase this without a public vote, but those exceeding 4.99% must hold a referendum. Additionally, the cost of a TV licence will increase from £169.50 to £174.50. Car tax rates will rise for the highest emitting vehicles, with some paying nearly £3,000 more. From April 1, water bills will increase as well, with average increases around £123, part of a five-year plan for major upgrades. Mobile and broadband customers are also facing price hikes from April, with increases expected to cost an additional £75 million per month across the UK. April 5 is the last day for many people to top up their National Insurance contributions to boost their state pensions. These contributions can significantly impact the pension amount received later. From April 6, National Insurance contributions by employers will increase from 13.8% to 15%, which may lead to job cuts and salary freezes as businesses adjust. On April 7, millions will see increases in their state pension payments and other benefits, which will go up by 1.7% to keep pace with rising costs. Additionally, a savings program called 'Help to Save' will now be available to all Universal Credit recipients, allowing them to earn bonuses on their savings. These financial changes will have varying impacts on households, and it is important for everyone to review their budgets and financial situations as April approaches.