Millions of Britons stretched to “breaking point” are being hit hard by a series of bills and price rises on Tuesday, a charity has warned.
Energy prices, water bills and council tax all increased today, in what has been dubbed ‘Awful April’, with outgoings on broadband, road tax and the TV licence also rising.
Citizens Advice said those on the lowest incomes are already struggling even before today’s price hikes, with single parents among the worst affected.
Its chief executive, Dame Clare Moriarty, said: “After years of cost-of-living pressures, households across the country are about to feel the extra shock of rising essential bills. But for those on the lowest incomes, these unavoidable costs are already eating away at their finances, leaving their budgets stretched beyond breaking point.
Some of the biggest rises include an average 26% increase in water bills, a 6.4% hike in energy bills and a 5% increase in council tax.
In the graphic below Yahoo News UK breaks down which prices are about to increase and by how much.
With so many increases affecting so many people, the government has been urged to act to limit the impact.
Deputy prime minister said a rise to the national living wage, which also comes into effect on Tuesday, would give workers “more money in their pockets”.
Those eligible aged 21 and over will get a 6.7% pay increase, from £11.44 to £12.21 per hour, while 18 to 20-year-olds will receive an uplift of £1.40, from £8.60 to £10 per hour.
But opposition politicians claimed families will be up to £3,536 worse off over the course of this parliament, with Conservative Party leader Kemi Badenoch saying: “The prime minister might think this is all just pocket money, but Britain’s working families will certainly notice the £3,500 Labour ministers have cost them.”
Liberal Democrat leader Sir Ed Davey called on the government to reverse its decision to cut the winter fuel payment for all but the poorest pensioners. He said: “The government must get a grip on energy bills, and fast.”
What can people do?
Consumers were urged on Tuesday to consider fixing their energy prices, as the price cap rise will see bills reach an average £1,849 a year.
It is the third consecutive increase to Ofgem’s price cap and sees the bill of a typical household paying by direct debit rise by 6.4%, an increase of £111 a year
Consumer groups urged the 22 million homes still currently covered by the price cap to consider fixing their prices.
Four million energy customers moved to a fixed tariff since Ofgem’s last price cap announcement in November, taking the total to 11 million, meaning they will not be affected by the increase.
Ben Gallizzi, energy spokesman at switching site Uswitch.com, said: “The cheapest fixed deal on the market could save the average household around £244 a year compared to the April price cap.
“Right now, there are some of the biggest savings we have seen available since March 2024.”
Which? energy editor Emily Seymour said: “There are deals available for cheaper than the April price cap so it’s worth shopping around to see if you could save by fixing a deal.”
Money Saving Expert founder Martin Lewis has said people can use water meters to save money on their bills. Plus, if people have more bedrooms in their houses than people they can use a water meter because most companies use estimates based on the rooms to determine bills. He said in some cases this can save up to 50% from a water bill.
If you’re struggling with council tax it is also worth checking if you qualify for any support from your local authority. Many different councils offer some form of support for people who struggle and they also offer the 25% single-person discount.