Seven major changes affecting money and the cost of living are set to take place in the UK in March 2024. Households and consumers are being encouraged to familiarise themselves with these changes due to the ongoing Cost of Living crisis.
These changes include increases in rail fares and BT and EE contract prices. Other changes include deadlines and alterations from the Department for Work and Pensions (DWP), as well as changes to inflation and interest rates. The Household Support Fund will also end this month, marking another significant change for UK households.
Support payments related to the Cost of Living have also come to an end. All the upcoming money changes for next month, including the rise in rail fares and the closure of financial schemes like the Warm Home Discount, are listed below thanks to our colleagues at Birmingham Live.
READ MORE: DWP holiday rules for anyone on Universal Credit or PIP
In a separate announcement, Chancellor Jeremy Hunt will be revealing the Budget and the Spring Statement next month. Mr Hunt will introduce a series of new rules and tax changes ahead of the General Election later this year, as the Tories attempt to claw back massive poll deficits.
On March 3, rail fares will increase. The UK’s Department for Transport has announced that rail fares across the country will go up by 4.9% starting on March 3, 2024. This increase is significantly less than the 9% retail price index figure recorded in July, indicating a departure from the traditional basis for fare increases.
The fare increase will be uniformly applied at a rate of 4.9% across many c2c routes in line with the national trend. However, stations recently incorporated into the expanded contactless pay-as-you-go zone will see a slight additional increase on top of the standard rate.
March 5 is the deadline to backdate benefit claim for £299 cost of living payment. Those who successfully apply for Pension Credit by 5 March could also secure a further £299 boost in the form of a Cost of Living payment thanks to backdating rules.
Pension Credit, which averages over £3,900 a year, is there to lend a hand with day-to-day expenses for those who have reached State Pension age and are on a low income. Minister for Pensions Paul Maynard said: “We are committed to ensuring every pensioner receives the financial support available to them.
“Anyone who is unsure whether they or a loved one is entitled to Pension Credit should quickly check using our online Pension Credit calculator it’s never been easier. Not only could this secure an extra £3,900 every year and unlock a whole host of other support, if successfully claimed by 5 March a further £299 Cost of Living boost is up for grabs.”
On March 20, the latest inflation data from the Office for National Statistics will be released. Inflation is a measure of how prices have changed over time. In the latest update from the ONS, inflation was revealed to have stayed the same at 4% in January.
Inflation hit a high of 11.1% in the year leading up to October 2022. The Bank of England’s target is 2%, so the current rate is double this goal. On March 21, the Bank of England will announce its next decision on interest rates.
During its last four meetings, the central bank kept its base rate at 5.25%, pausing fourteen rounds of rate increases, which was good news for people with mortgages and loans. The current household support fund will run until the end of March 2024.
The Government is constantly reviewing all their existing programmes. Councils still have the flexibility to use funds from the local government finance settlement to provide local welfare assistance.
A spokesperson for the DWP said that the household support fund “comes on top of a record cost of living support package worth around on average £3,700 per household”. They added: “This includes increasing benefits by 6.7% from April, increasing the state pension and increasing the local housing allowance to help private renters on housing benefit or universal credit save nearly £800 on housing costs.”
“We have also halved inflation to help everyone’s money go further and cut taxes for hardworking people at the Autumn Statement saving the average earner £450 a year.” Meanwhile, on March 31, BT/EE prices will increase.
From the end of March, millions of customers will see price increases. This means that if you usually pay your bill on the 15th of every month, for example, you’ll start paying the new price from April 15. Even customers on fixed-price contracts will be affected by this rise.
Most of the largest broadband and mobile providers use either the December Consumer Prices Index (CPI) or the January Retail Prices Index (RPI) rates of inflation to work out their price increases. The December CPI figure was 4% and was published in January, while the January RPI figure was 4.9% and was published in February.
The Warm Home Discount ends on March 31. Under this scheme, you could get £150 off your electricity bill for winter 2023 to 2024. The money isn’t paid to you directly – it’s a one-off discount applied to your electricity bill between early October 2023 and 31 March 2024. If you’re eligible, you’ll usually get the discount automatically.
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