In 2026, significant financial changes are on the horizon, and the Mirror has compiled a list of important dates for your calendar. These changes range from alterations to inheritance tax to the removal of the two-child benefit cap. Some changes were announced during the Budget, while others have been in progress for a longer period.
Updates such as the Ofgem price cap adjustments and crucial tax deadlines for self-employed individuals occur periodically. The Ofgem energy price cap is set to increase from £1,755 to £1,758 in January for those with average energy consumption paying via direct debit. This cap is revised every three months, with subsequent changes scheduled for April, July, and October.
Meanwhile, the first inflation figures for the year will be released by the Office for National Statistics on January 21. Inflation, presently at 3.6% based on the Consumer Prices Index (CPI), measures price fluctuations over time. The release of inflation data is a monthly occurrence.
For those awaiting their Winter Fuel Payment, the Winter Fuel Payment Centre can be contacted starting January 28. This payment, valued at up to £300, is available to individuals over state pension age, subject to repayment through the tax system for those earning over £35,000 annually.
Self-employed individuals must file their online self-assessment tax returns by January 31 for the 2024/25 tax year. Missing this deadline incurs a minimum fine of £100, irrespective of tax liability for that year.
Additionally, alcohol duty will see a 3.66% increase in February, aligning with RPI inflation. This adjustment translates to an additional 11p on Prosecco, 13p on red wine, and 38p on gin bottles, as reported by the Wine and Spirit Trade Association.
On February 5, the Bank of England will convene for its first meeting of the year to decide on interest rate adjustments. The current base rate stands at 4%, impacting borrowing costs and savings interest rates. The Bank of England convenes every six weeks to determine the base rate.
Furthermore, the Household Support Fund is set to conclude on March 31. This initiative allows local councils to provide targeted assistance to residents facing bill arrears or low incomes, typically in the form of non-repayable cash grants or vouchers.
From April 2026, the two-child benefit cap will be lifted, enabling low-income families to claim additional means-tested benefits beyond the two-child limit introduced after April 6, 2017.
Moreover, millions of workers can anticipate a minimum wage increase in April, with rates rising to £12.71 per hour for individuals aged 21 and over, and varying rates for other age groups and apprentices. Council tax bills in England may rise by up to 5% in April, with larger increases subject to referendums.
The annual TV license fee typically adjusts every April, pegged to previous September CPI rates. Water bills are projected to increase by about 36% over five years in England and Wales by 2030, as authorized by Ofwat.
Car tax rates, linked to RPI inflation, are expected to rise in April, alongside adjustments to the threshold for zero-emission vehicles. The end of the tax year in April signifies the reset of tax allowances, emphasizing the utilization of available allowances before the new tax year commences.
Notably, various benefits will see increments from April 6, with Universal Credit and state pension receiving significant boosts. Inheritance tax amendments affecting farmers, dividend tax rate adjustments, revised rules for price displays, and changes in tax relief for remote workers are also part of the upcoming fiscal landscape.
Finally, the Financial Conduct Authority will fully regulate buy now, pay later services from July 15, focusing on affordability checks and support for individuals facing financial challenges. University tuition fees in England will also escalate in line with inflation, underscoring the broad spectrum of financial adjustments expected throughout the year.