Yahoo News Four DWP money changes in July you need to know about
A number of cost of living and money changes are set to take place next month which will impact millions of people. The Department for Work and Pensions (DWP) and HMRC will implement a number of changes in July.
These include a new energy price cap for millions of households, as well as tax deadlines and updates for those who claim state benefits. With so many dates to keep track of it can be difficult to keep up with everything so we have put together a list of the main changes you should look out for.
Here are all the money changes you need to know about in July. To get the latest money stories straight to your inbox twice a week sign up to our newsletter here.
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READ MORE: DWP universal credit changes to hit millions in August
Energy bills fall for millions - July 1
From July 1 the new energy price cap will come into effect which will see millions of people pay less for their gas and electric. The price cap, set by regulators Ofgem, will fall to £1,568 per year from that date and will last for three months until the end of September. This is a drop of around £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 pay will depend on how much energy your household uses, where you live, and the type of meter you have. It is a cap on how much you can be charged per unit of energy you use – not a cap on how much you can be charged overall.
The drop will not last though as bills are currently expected to rise again later in 2024. Read more about the price cap predictions here.
General election - July 4
The UK general election will take place on July 4. Currently Labour holds a commanding lead in the polls and the outcome of the election could make a big difference to your wallet depending on the government which is elected. Labour has pledged in its manifesto to review universal credit and "end mass dependence on emergency food parcels" but it isn't clear whether the intention is to increase or reduce access to the benefit or which changes might be considered. It has also promised to "tackle the backlog of access to work claims" and alter the work capability assessment for disabled claimants.
Among the Tories' pledges on welfare include potential changes to PIP for disabled claimants and changing the work capability assessments "so that those with more moderate mental health issues or mobility problems who could potentially engage with the world of work are given tailored support, instead of being written off on benefits."
Payment on account deadline - July 31
Self-employed people need to make advance payments towards their tax bill by this date.
Benefits going out as normal - July
There are no bank holidays in July meaning that state benefits will be sent out as normal. The next changes to payment dates will be in August when there is a bank holiday meaning millions of claimants will get their benefits earlier due to offices and helplines being closed. Bank holiday changes generally 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)
