- Starting this month, millions will see an increase in their take-home pay.
- The UK is set to implement new policies prohibiting hidden fees and fake reviews on online consumer platforms.
- A potential tax cut may be on the horizon for the UK later.
- Energy prices are expected to decrease to £1,620 starting April.
Millions to Receive Pay Raise This Month
Last year, the Autumn Statement announced a reduction in national insurance to 10%, which officially takes effect this month.
It is anticipated that millions will receive higher take-home pay by the end of the month.
Many individuals are planning to allocate this additional income towards pension contributions to ensure a higher quality of life in retirement.
However, not everyone can afford to do so, and more people are opting to increase savings to alleviate financial pressures.
Cracking down on hidden fees, saying no to “drip pricing.”
Consumers have long been subject to unavoidable hidden charges in online transactions.
Particularly, the fees associated with booking train or movie tickets online have been a source of frustration.
Starting this spring, the UK will prohibit “drip pricing” to enhance transparency for online consumers.
Additionally, this initiative aims to combat prohibited business practices such as fake reviews, holding businesses accountable to consumers.
The era of tax cuts is on the horizon
Economic forecasts from EY indicate an average inflation rate of approximately 2.4% in 2024.
As inflation continues to normalize, a significant decrease in bank interest rates is expected.
Experts suggest that the spring budget may witness further tax cuts and economic recovery.
Energy prices may drop by 16% starting in April
The latest projections suggest that annual household bills could decrease to £1,620, with a further decline expected in the summer.
However, the exact price cap will be determined by Ofgem at a later date.
As of now, the typical annual energy bill for UK households stands at £1,928, but this is not a cap, as some households may incur bills higher than this amount.