Some bill increases are always scheduled for this time of year, to match the rate of rising prices – inflation.
So another question is: what can you do about it?
Consumer groups are urging people to shop around, claim everything they are entitled to, and cut back where possible.
James: I get £150 in cash out every week. It’s amazing how it helps you budget things. Why don’t more people try it?
There is evidence of people turning to notes and coins to help them budget.
Although cash use was hit during the pandemic, it has made a bit of a comeback, with many people taking the same view as James.
However, there are areas in which this doesn’t work.
Shopping around for a better deal on essential bills is often something done online, and may require signing up to a direct debit payment. Rewards, or money off, are often also available to those who pay by card.
So, it may well be that using a mix of ways to pay works best – but questions remain about access to cash and internet services among the vulnerable.
Getty Images
Richard Kendall asked about frozen tax thresholds, which mean pay rises can see people drawn into paying higher rates of income tax.
This is what is known as fiscal drag – not a phrase you’ll hear talked about much, but it is important.
It means that while income tax rates haven’t risen, the income levels at which they are paid have been frozen, and will continue to be so until 2028.
There have been rumours that the freeze could be extended, but there are no concrete plans for that as yet.
So, more people are being dragged into paying higher rates of tax, or simply having a greater proportion of their income taxed.
Taking a closer look at your pay slip is worthwhile, and it needs to be considered when looking at your personal budget. Experts say studying exactly how much post-tax income is coming in, and looking at it alongside your spending, is never a waste of time.
And it may require you to trim some of your spending. Shopping around, or cancelling unused subscriptions are a good start, experts say.
Colin Smith: Do we simply have to accept water bill increases because we can’t shop around?
Water services are different, because the ‘switch for a better deal’ advice simply doesn’t, ahem, hold water.
There is plenty of debate over why water bills are going up so much (remember some suppliers wanted bigger increases).
But there are things you can do to keep your costs down, even though you can’t shop around.
Experts say getting a water meter fitted can reduce bills if you have relatively low usage. Water-saving shower heads, or similar, are available free from some companies.
Then, there is the WaterSure scheme, which means the bill is capped for people on certain benefits, who have a medical condition, or who have a certain number of school-age children at home. You do need to apply for this help though.
Sam Halkyard, 32, from Rotherham: How does the government expect the economy to grow with all these bill increases?
Ministers are pushing their “agenda for growth” at every opportunity, calling for red tape to be cut to pave the way for investment.
There is a delicate balancing act here. The government wants people’s living standards to rise, and it wants them to spend to encourage investment by businesses.
Remember, all of this comes with a background of wage rises outpacing prices, an uptick in the housing market, and some signs of hope for the wider economy.
But ministers won’t want to see a return of runaway inflation – the annual rise of prices – because that would inevitably lead to a rise in interest rates, and higher borrowing costs for businesses and individuals.
So, outside of this, you are seeing the government push ahead with some big, long-term investment projects, like road tunnels and runways.
Jules, 57: I’m single. My wages don’t go up in April. Where’s the help for us?
Charities have raised the alarm specifically about people like you, Jules.
Citizens Advice says that single households, including single parents, tend to spend a greater proportion of their income on household bills.
As a result, there is far less wriggle room financially when bills rise.
Read the full article from The BBC here: Read More
