Yahoo News Four DWP and money changes in July that you need to know about
A series of changes affecting the cost of living and personal finances are due to come into effect in July, impacting millions across the UK. The Department for Work and Pensions (DWP) and HMRC have a number of changes scheduled for the coming month..
These include a new energy price cap affecting millions of household alongside tax deadlines and updates for state benefit claimants. With many dates to remember, it can be challenging to stay on top of everything, so we've compiled a list of the key changes you need to be aware of.
Here's a rundown of all the financial adjustments set to occur in July. To receive the latest money-related news directly to your inbox twice a week, sign up for our newsletter here.
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Energy bills decrease for millions - July 1
Starting from July 1, a new energy price cap will be introduced, resulting in lower gas and electricity costs for millions. The price cap, determined by regulators Ofgem, will drop to £1,568 per year from this date and will remain in place for three months until the end of September.
This represents a reduction of approximately £122 per year from the current cap of £1,690. The energy price cap applies to you if you pay for your electricity and gas by either:.
standard credit (payment made when you get your electricity and gas bill)
direct debit
prepayment meter
economy 7 (E7) meter
However, the actual amount you'll pay will depend on your household's energy consumption, your location, and the type of meter you have. It's a limit on how much you can be charged per unit of energy you use, not a cap on your total bill.
General election - July 4
The UK general election is set to take place on July 4. The election results could significantly impact your finances depending on which government comes into power.
In its manifesto, Labour has committed to reviewing universal credit and ending "end mass dependence on emergency food parcels", although it remains unclear whether this means increasing or decreasing access to the benefit or what changes might be considered. The party has also pledged to address the backlog of access to work claims and modify the work capability assessment for disabled claimants.
The Tories have made several promises regarding welfare, including potential alterations to PIP for disabled claimants and changes to the work capability assessments. They aim to provide tailored support to those with moderate mental health issues or mobility problems who could potentially engage with work, rather than being written off on benefits.
Payment on account deadline - July 31
For self-employed individuals, the deadline for advance payments towards their tax bill is July 31.
Benefits going out as normal - July
In July, state benefits will be distributed as usual since there are no bank holidays. The next changes to payment dates will occur in August due to a bank holiday, meaning millions of claimants will receive their benefits earlier as offices and helplines will be closed. Bank holiday changes typically affect the following benefits:.
Carer's allowance
Disability living allowance
Employment and support allowance
Income support
Jobseeker's allowance
Personal independence payment
Tax credits (such as working tax credit)
