ACROSS the country millions are trying to manage their budgets, with more changes hitting finances before the end of summer.
From energy to food, households have been stung by eye-watering bill hikes.
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This summer will bring even more money changes – but some could mean you’ll be better off.
We explain all the key dates you need to circle in your diary below.
Mortgage rate changes
This week, the central bank will meet and decide whether to increase interest rates for the 13th time a in a row.
Experts now predict the Bank rate could jump as high as 5.75 per cent next year, which could translate to mortgage rates of 8.77 per cent.
The rate is used by high street banks and lenders to set the rates it offers customers on mortgages, loans and savings.
A rate rise is generally good news for savers, especially after a long stretch of getting very low returns.
Usually, the BoE rise would mean a blanket increase in the cost of borrowing for households too – depending on what loan you have.
Homeowners who have to remortgage this year will have to find an extra £250 a month for a £100,000 loan, if rates go up as predicted.
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If you have a tracker mortgage that follows the base rate, you can expect your interest payments to rise.
That’s because it’s directly linked to the base rate.
Moving to a fixed rate mortgage can give you certainty over your repayments for a set period – and you’ll be protected from forthcoming rate hikes.
Shop around for the best deal or speak to a mortgage broker who can scour the market for you.
The BoE will also meet twice more before the end of summer – once on August 3 and again on September 21.
Universal Credit childcare payment boost
At the moment, parents on Universal Credit can claim back 85% of their childcare costs – but they have to pay upfront first.
It means mums and dads have had to find more than £1,000 for a month’s nursery care in advance before getting any support.
But from Wednesday, June 28 all payments will be made upfront and families will benefit from a payment boost.
The maximum amount of cash parents can claim will also go up from £646 to £951 for one child, and from £1,108 to £1,630 for two – an increase of just under 50%.
The government will also help eligible parents cover the costs for the first month’s childcare when they enter work or significantly increase their hours.
You can see how this will affect you, as well as finding out about other available help, in our guide.
£100 for Nationwide customers
Around 3.4million Nationwide Building Society members will be entitled to a share of the £340million cash post.
The mutual lender has launched the Nationwide Fairer Share – a new reward for millions of its members who meet certain eligibility criteria.
To be eligible, members will need to hold a qualifying current account, plus either a qualifying saving or mortgage product.
Payments will be sent out automatically to account holders between now and June 30.
But you will need to have held the account on March 31 to be eligible and still have the account open in June.
Nationwide has now informed all eligible members about the payment.
To find out of you’re eligible, you can check out out full guide to everything we know about the payment.
Energy price guarantee comes to an end
The Government’s energy price guarantee (EPG) has frozen average bills at £2,500 a year for millions of households.
However, the guarantee is set to finish at the end of June and it means energy prices will fall.
Although you could pay more or less depending on your usage.
The Ofgem price cap will fall by £1,206 from £3,280 to £2,074 a year from July 1 and it will cover the period to October 1.
The lower cap will replace the EPG and means the average household will see their annual bill drop by £426.
£150 cost of living payment
Six million people are due to receive the £150 Disability Cost of Living Payment over the next few weeks.
The tax-free cash will be paid directly into recipients’ bank accounts between now and July 4.
To get the £150 cost of living payment, you have to already be receiving any one of the below benefits:
- Disability Living Allowance
- Personal Independence Payment
- Attendance Allowance
- Scottish Disability Benefits (Adult Disability Payment and Child Disability Payment)
- Armed Forces Independence Payment
- Constant Attendance Allowance
- War Pension Mobility Supplement
Those who were already receiving one of these benefits in April will get their payment over the next few weeks.
If you were or are awarded a qualifying benefit at a later date, you will still get the £150 automatically – it will just come after July 4.
There is a huge list of medical conditions that could mean you qualify for the £150 payment.
This is because they would make you eligible for one of the above benefits.
The Sun has put together a list of medical conditions that mean you qualify for the payment.
Deadline to renew tax credits
Tax credit customers have until July 31 to check the information in their renewal pack is correct.
They’ll need to notify HMRC of any changes to their circumstances which may affect their claim.
There are two types of tax credits – working tax and child tax credit.
They’re given to people who are on low incomes, are registered as disabled or have children that are dependent on them.
The rates vary depending on your personal situation and there are a number of elements, but you can get up to £2,280 if you’re eligible for the basic element of working tax credit or up to £3,235 if you claim the child element of child tax credit.
Universal Credit has replaced tax credits for new claimants, but many have not yet made the switch over to the newer benefit.
Everyone will be transitioned over to receiving Universal Credit eventually and by 2024, the government has said.
But if you already claimed tax credits in the previous financial year you’re able to renew them once you’ve received your renewal pack.
National Insurance deadline extended
Earlier this month, the government announced that the deadline for people to plug the gaps in their National Insurance (NI) record to boost their state pension, had been extended.
A government scheme which allows people to fill in gaps in their history was set to end in April before being extended to July.
But households should note that this has now been extended for a second time to April 5, 2025.
This doesn’t mean that you can’t start filling in the gaps now, but you now have a little longer to get your finances together.
You can find out more about this by reading our guide.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected]
