The latest Budget announcements have revealed important dates for various changes to take effect. Alcohol prices will see a 3.66% increase in duty starting February 2026, affecting products like Prosecco, red wine, and gin. Rail fares in England will remain frozen until 2027, unlike the usual yearly increments. The two-child benefit cap under Universal Credit will be removed from April 2026.
State pensions will rise by 4.8% in April 2026, along with other benefit payments like Universal Credit allowances. Car tax rates will also adjust with inflation from April 2026. Energy bills are set to decrease by £150 in 2026, thanks to the discontinuation of the Energy Company Obligation scheme.
Minimum wage will rise by 4.1% in April 2026, benefiting workers aged 21 and over. NHS prescription costs will remain at £9.90 per item, avoiding the usual annual increase. The temporary 5p fuel duty cut will revert to normal rates by September 2026.
From April 2027, the cash ISA limit will be reduced to £12,000 for under-65s, while tax rates on savings interest and property interest will increase. Student loan repayment thresholds will be frozen from April 2027. Pensions will be subject to Inheritance Tax starting in 2027.
A mansion tax for properties exceeding £2 million will be implemented from April 2028, along with a mileage tax for electric vehicles. The Help to Save scheme for Universal Credit recipients will become a permanent fixture from 2028. Tax thresholds freeze is now extended until April 2031, potentially impacting more taxpayers.