April Bill Increases: What You Need to Know
While April is often celebrated as a time of renewal and blooming flowers, it has become increasingly significant for consumers facing rising household bills. This month typically brings about a variety of increases in essential expenses, and since inflation surged following the Covid pandemic, many individuals and families are bracing for a substantial financial impact. Here, we provide a detailed overview of which bills are expected to rise this April and offer practical tips to help mitigate these increases.
Council Tax
Council tax is a mandatory charge levied on properties across Britain, applicable to most adults who either rent or own a home. Notably, Northern Ireland operates under a different domestic rates system.
The council tax you owe is determined by the valuation band of your property, with typical charges in England averaging around £2,171 per year. Starting in April, councils will implement varying increases. Most councils in England are permitted to raise council tax by 4.99%, although some smaller councils have a cap set at 2.99%. In certain areas, such as Bradford, households may face increases nearing 10%.
In Scotland, some councils are also expected to raise rates above 5%, and similar increases are anticipated in Wales. However, there are ways to potentially reduce your bill:
- If you are the sole adult in your property, you may qualify for a 25% discount.
- Households comprised entirely of students can receive a full exemption, as can individuals diagnosed with severe mental impairments.
- Those on low incomes receiving benefits such as universal credit or pension credit may also be eligible for reductions.
For specific details and eligibility, it is advisable to contact your local council directly.
Energy Bills
From April 1, most households in England, Wales, and Scotland will face an increase in energy bills as well. The energy regulator, Ofgem, sets a price cap that determines the maximum amount providers can charge per unit of energy. This cap, which does not apply in Northern Ireland, is reviewed quarterly. As of April, households will see a 6.4% rise, with typical dual-fuel bills climbing from £1,738 to £1,849.
Fortunately, many households can pay less than the cap by opting for alternative tariffs from their providers. Some energy companies offer fixed tariffs, which provide guaranteed prices for a specified period, potentially below the cap. For instance, Outfox the Market’s “Fix’d Dual Mar25 v1.0” tariff offers prices 12.9% cheaper than the new cap, while EDF’s “simply tracker Mar26” tariff charges customers £50 below the cap over a year.
However, consumers should be cautious when signing up for these deals, as they may be locked into a set price if energy prices decline. Always verify whether your provider charges exit fees before committing.
Water Bills
The average water bill for households in England and Wales is set to increase by £123, or 26%, starting April 1. In Scotland, customers will see a smaller rise, with average bills increasing by £44, approximately 9.9%. Notably, there are no domestic water charges in Northern Ireland.
The precise increase you experience will depend on your location and water provider, so it is wise to consult your provider for specific details. For instance, Southern Water customers will face the steepest rise at £224 per year, while Sutton and East Surrey (SES) Water customers will enjoy a £5 decrease.
One effective way to reduce your water bill is by installing a water meter. You can use an online checker provided by the Consumer Council for Water to determine if a meter could save you money. Additionally, your water company may offer calculators to help assess your potential savings.
There are also programs like WaterSure that assist customers on certain benefits who have high water usage due to medical needs or large families. To qualify, you must be on a water meter and meet specific criteria.
Mobile, Broadband, and Internet Bills
Many telecom providers increase their bills in April, with variations depending on the provider. For example, Virgin Media broadband customers who signed up or upgraded their contracts before January 9 of this year will see a 7.5% increase in their bills, reflecting January’s RPI inflation figure plus an additional 3.9 percentage points.
Similarly, Three mobile customers who joined or upgraded between November 1, 2022, and September 7, 2024, will experience a 6.4% increase, based on December’s CPI inflation figure plus an extra 3.9 percentage points.
If you are currently tied to a contract, there may be limited options to avoid these increases. However, once you are out of contract, you can either seek a better deal elsewhere or negotiate with your current provider.
TV Licences
The cost of a TV licence will rise by £5 to £174.50 starting in April. Some households may qualify for exemptions if they do not watch live TV and only utilize catch-up services, provided they do not access BBC iPlayer.
Additionally, certain circumstances allow for free TV licences, such as for individuals over 75 receiving pension credit or those living with an eligible person.
Car Tax
Changes to car tax rates will also take effect from April 1. The standard flat rate for car tax will rise to £195, up from £190. Furthermore, electric vehicles (EVs) will no longer enjoy exemption from car tax. EVs registered between April 1, 2017, and March 31, 2025, will be subject to the same standard rate as all other vehicles.