In the recent Budget announcement, key dates for significant changes have been outlined. Alcohol prices are set to increase in February 2026, with a 3.66% rise in alcohol duty, affecting products like Prosecco, red wine, and gin. Rail fares in England will remain frozen until 2027, and the two-child benefit cap under Universal Credit will be removed from April 2026.
Moreover, the state pension is scheduled to rise by 4.8% in April 2026, and DWP benefits will increase in line with inflation rates. Car tax will see a rise in April 2026, while energy bills are expected to decrease by £150 from the same date. Minimum wage rates will also go up, and NHS prescription costs will remain steady at £9.90 per item.
Furthermore, a 5p fuel duty cut will be reversed in September 2026, and the cash ISA limit will be reduced to £12,000 for under-65s from April 2027. Tax rates on savings interest and property interest will increase in April 2027. Student loan repayment thresholds will be frozen, and pensions will be subject to Inheritance Tax starting April 2027.
Additionally, a mansion tax will be imposed on properties above £2 million from April 2028, and electric vehicle drivers will face new mileage-based taxes. Help to Save scheme will become permanent from 2028, and the freeze on tax thresholds will end in April 2031, potentially impacting workers’ tax obligations.