MANY financial changes are coming in 2025 which could affect how much money you have in your pocket.
Bus and rail fares will rise, the minimum wage will increase and stamp duty thresholds will be updated.
Plus, it’s important to remember yearly money dates including the deadline to submit a tax return or when the new financial year begins.
Here we explain all the key dates you need in your diary for the New Year.
On January 1 the new energy price cap comes into effect.
Households will now pay an average of £1,738 per year for their energy, up from £1,717.
The price cap is used to show how much a typical family with a dual fuel tariff who pays via direct debit could expect to spend on their energy bill each year.
But the exact amount you will pay each month will depend on your usage and can be higher or lower than the cap.
What to do: There are several things you can do to ease the pain of a price cap rise.
The first is to look around for a fixed rate that might be cheaper than the standard variable tariffs based on the cap.
The second is to look for ways to minimise your energy usage, which can bring down your overall bills.
This could be things like turning the thermostat down a degree, keeping your curtains drawn, and even blocking drafts from chimneys.
Longer term, insulation is expensive but can save you thousands of pounds on your bills.
Emily Seymour, Which? energy editor, said: “It’s still worth shopping around for energy deals – look out for any that might be cheaper than the January price cap when it comes into effect.
“You should compare what your monthly payments would be on a fixed deal with what you’d expect them to be if you remain with the price-capped variable tariff to see what the best option is for you.
“As a rule of thumb, we’d recommend looking for deals cheaper than the price cap, not longer than 12 months and without significant exit fees.
“If you’re worried about affording your bills this winter, don’t suffer in silence.
“Speak to your energy company – they are obliged to help you if you’re struggling to pay your bills.”
On January 1 the bus fare cap will also increase from £2 to £3.
The government announced the changes to travel costs in its Budget.
The cap will mean that no single bus fare on routes included in the scheme will exceed £3.
Meanwhile, routes where fares are less than £3 will only be allowed to increase in line with inflation.
What to do: You’ll need to factor this change into your monthly budget and check to see if there is a travel card that might make it cheaper for you.
Thousands of pensioners who receive certain benefits will get a Winter Fuel Payment worth up to £300 this year.
Most payments will be made automatically in November or December.
If you are eligible you should receive a letter telling you how much you’ll get and which bank account it will be paid into.
This is usually the same account as your Pension Credit or other benefits.
Consumer reporter Sam Walker explains all you need to know about the payment.
The Winter Fuel Payment is an annual tax-free benefit designed to help cover the cost of heating through the colder months.
Most who are eligible receive the payment automatically.
Those who qualify are usually told via a letter sent in October or November each year.
If you do meet the criteria but don’t automatically get the Winter Fuel Payment, you will have to apply on the government’s website.
You’ll qualify for a Winter Fuel Payment this winter if:
If you did not live in the UK during the qualifying week, you might still get the payment if both the following apply:
But there are exclusions – you can’t get the payment if you live in Cyprus, France, Gibraltar, Greece, Malta, Portugal or Spain.
This is because the average winter temperature is higher than the warmest region of the UK.
You will also not qualify if you:
Payments are usually made between November and December, with some made up until the end of January the following year.
What to do: If you do not get a letter or the money has not been paid into your account by January 29 then you should contact the Winter Fuel Payment Centre on 0800 731 0160.
You will need to provide personal details such as your name, address, date of birth and National Insurance number.
The deadline for you to claim for this winter is March 31, 2025.
Hundreds of thousands of people need to file a self-assessment tax return before January 31 or face a hefty penalty.
You may need to do a tax return for several reasons, including if you are self-employed or earn money from savings, tips or commissions.
The deadline to submit a paper tax return has passed but you can still complete the forms online.
You can find more information about completing a tax return on the Government’s website.
If you owe any tax then you need to pay it by midnight on the same day.
You can do this online, via the HMRC app, through your bank’s app or using online banking.
It can take a few days for payments to reach HMRC so try and pay your bill at least a few days ahead of the deadline.
There’s usually a second payment deadline of July 31 if you make advance payments towards your bill.
This is known as “payments on account”.
You will also need to pay a penalty if you are late.
What to do: You can check if you need to file a tax return by using the online tool on the GOV.UK website.
Complete the paperwork online well before the deadline to avoid any mishaps.
Pay any tax you owe now to avoid being slapped with a hefty fine.
The freeze on alcohol duty rates was extended until February 1 in the Spring Budget.
After this date, alcohol duty rates on all non-draught products will rise in line with the retail price index measure of inflation.
This means that the price of some alcohol will increase.
Draught products, such as beer, which are served in pubs will be exempt to help control prices.
What to do: Stock up on your favourite beverages ahead of this deadline to avoid being affected by price rises.
In February the Bank of England’s rate-setting committee will meet for the first time to decide whether to cut interest rates.
If the Bank decides to cut interest rates then it could mean that savings rates fall and mortgages get less expensive.
Interest rates were cut twice this year, in August and November.
It is expected that interest rates will fall even further in 2025 but they are unlikely to return to the levels seen for more than a decade.
What to do: If experts think the base rate is likely to increase, then you should consider whether you’re getting the best mortgage deal.
You can apply for and hold a mortgage rate for up to six months.
If you have a fix coming to an end or you’re on a standard variable rate, it’s worth speaking to a broker before any MPC decision and securing a rate.
You can always shop around for another one if rates fall.
It’s also a good time to check whether your savings, and any debts are in the best place possible.
Check whether you can find lower interest for credit cards, or higher paying savings accounts depending on what the MPC announces.
The next energy price cap will be published on February 25.
This will control how much an energy supplier can charge for every unit of energy used between April 1 to June 30.
There's a number of different ways to get help paying your energy bills if you're struggling to get by.
If you fall into debt, you can always approach your supplier to see if they can put you on a repayment plan before putting you on a prepayment meter.
This involves paying off what you owe in instalments over a set period.
If your supplier offers you a repayment plan you don’t think you can afford, speak to them again to see if you can negotiate a better deal.
Several energy firms have schemes available to customers struggling to cover their bills.
But eligibility criteria vary depending on the supplier and the amount you can get depends on your financial circumstances.
For example, British Gas or Scottish Gas customers struggling to pay their energy bills can get grants worth up to £2,000.
British Gas also offers help via its British Gas Energy Trust and Individuals Family Fund.
You don’t need to be a British Gas customer to apply for the second fund.
EDF, E.ON, Octopus Energy and Scottish Power all offer grants to struggling customers too.
Thousands of vulnerable households are missing out on extra help and protections by not signing up to the Priority Services Register (PSR).
The service helps support vulnerable households, such as those who are elderly or ill.
Some of the perks include being given advance warning of blackouts, free gas safety checks and extra support if you’re struggling.
Get in touch with your energy firm to see if you can apply.
The cap has risen the last two times it has been reviewed and could rise again in February.
As a result, energy bills could become more expensive.
What to do: Check if you would be better off locking into a fixed energy deal if you are on a variable tariff.
Rail fares are set to increase by 4.6% in March after the government revealed the plans in its Budget document.
The cost of most railcards will also rise by £5, which is equal to almost 17%.
What to do: As train travel gets more expensive, railcards are likely to become better value for money, particularly if you’re a regular traveller.
National Rail has plenty available including for young people up to 30, disabled people, family and friends, network rail, seniors, veterans and two people travelling together.
Currently, most cost £30 for one year or £70 for three, so it’s worth buying now before prices rise.
If you’re a commuter, it might also be worth checking whether an annual ticket might be cheaper, if you don’t have one already.
Struggling households have until March 31 to apply for the Household Support Fund which can help them to make ends meet.
The government has provided £421 million of funding to local authorities to help hard-up families and pensioners.
The money will help to pay for gas, electricity or food.
Payments will be made in cash or vouchers.
The amount you will get depends on your local authority and what support is available.
If you think you are eligible then apply as soon as possible.
Councils only have a certain amount of money to give out to residents and once it is gone you will miss out.
What to do: Check if you are eligible for help and apply as soon as possible to avoid missing out.
The cost of several household bills will rise from April 1.
Council tax bills in England will rise by up to 5% from April, which will add an extra £100 to a typical bill.
The exact amount your bill will rise depends on where you live and what band your property is in.
Water regulator Ofwat has forecast that bills will rise by £27.40 next year, pushing up the average household water bill to £473.
Meanwhile, the cost of a TV licence will increase by £5 to £174.50, the Government announced in December.
What to do: Most of the changes will happen automatically and there’s not much you can do, but you can plan in advance.
Start thinking now about how you can cut costs to accommodate rising bills.
For anything where you can choose your provider, such as mobile phones and broadband, it’s worth shopping around to make sure you’ll be getting the best deal.
Meanwhile, the National Living Wage is also set to increase on the same day.
The living wage for those aged over 21 will rise by 77p to £12.21 an hour from April 1.
The rate for 18-20-year-olds will increase by £1.40 to £10.
Apprentices will get £7.55 an hour, a £1.15 increase.
The Government wants to eventually introduce a single minimum wage for all ages.
What to do: Rises will come in automatically for those who earn the national living or minimum wages and you don’t need to do anything.
For anyone on a higher salary, this could be a good opportunity to negotiate an increase with your employer.
If you do get a pay rise, it often makes sense to increase your pension contributions.
After all, if you’ve never had the money, you won’t miss it.
Equally, diverting more money to savings at the beginning of the month can help you save for emergencies or big spends such as holidays.
Unlike the calendar year, the tax year runs from April to April each year.
This can be important if you want to save a lot of money in an Individual Savings Account (ISA) or junior version.
You can pay up to £20,000 into an Isa each year.
Meanwhile, Junior Isas have a limit of £9,000 a year.
You cannot roll over any unused allowance to the next tax year.
What to do: If you have an ISA, this is the last chance to use up any of the 2024/2025 allowance.
It’s also when your annual pension allowance ends, so a good opportunity to get any last minute payments in if you think you might reach the limit next year.
One important date is April 5, when the rules about filling historic gaps your NI record change.
Currently, you can buy national insurance years going back to 2006 to top up your record, but from April this will change to just 6 years.
Your national insurance record determines how much state pension you get, and you need 35 years of contributions or credits to get the full amount.
What to do: Check your state pension record and see if there are any gaps.
Use HMRC’s new online tool which tells you how much it would cost to fill different years and what effect that would have on your pension.
Universal Credit is replacing tax credits in 2025.
After April 5 tax credits will end and no further payments will be made.
Those who are eligible will be moved over to Universal Credit.
They will get a letter from the Government to tell them that they need to switch.
If you do not claim by the deadline in that letter then your existing tax credit payments will stop, even if you just renewed your claim.
If you claim tax credits and are over the state pension age then you will be asked to apply for Universal Credit or Pension Credit, depending on your situation.
What to do: If you need to apply for new benefits then you should do so before this deadline.
You could miss out on some money if you apply after this date.
There should be information on how to apply in the Government letter.
The state pension will rise by £472 a year for millions of pensioners on April 6 as part of the triple lock guarantee.
This ensures that payments rise in line with wages, inflation or 2.5% – whichever is highest.
AT the moment the current state pension is paid to both men and women from age 66 - but it's due to rise to 67 by 2028 and 68 by 2046.
The state pension is a recurring payment from the government most Brits start getting when they reach State Pension age.
But not everyone gets the same amount, and you are awarded depending on your National Insurance record.
For most pensioners, it forms only part of their retirement income, as they could have other pots from a workplace pension, earning and savings.
The new state pension is based on people’s National Insurance records.
Workers must have 35 qualifying years of National Insurance to get the maximum amount of the new state pension.
You earn National Insurance qualifying years through work, or by getting credits, for instance when you are looking after children and claiming child benefit.
If you have gaps, you can top up your record by paying in voluntary National Insurance contributions.
To get the old, full basic state pension, you will need 30 years of contributions or credits.
You will need at least 10 years on your NI record to get any state pension.
Those on the basic and new state pension will see their payments rise by 4.1%.
From next year pensioners on the full new state pension will get £230.25 a week.
Meanwhile, retirees on the full old basic state pension will receive £176.45 a week.
What to do: Make sure that your contact details are up to date.
Check what day of the week your state pension should be paid.
On the same day, the Help to Save scheme will be expanded to anyone who works and claims Universal Credit.
Help to Save is a savings account which can be opened by people who are entitled to Working Tax Credit or receive Universal Credit and meet certain criteria.
Those with the account get a bonus of 50p for every £1 they save over four years.
They can save between £1 and £50 every calendar month and do not have to pay in money every month.
Currently, those who get Universal Credit must earn £793.17 or more each month to be eligible.
But anyone earning at least £1 a month who claims Universal Credit will be able to apply from April.
What to do: If you want to join Help to Save then you can apply through the Government Gateway.
You do not need to submit any paperwork as HMRC will assess whether you are eligible.
If you have problems applying then you can call the Help to Save service on 0300 322 7093.
The NHS increased prescription charges from May 1, 2024.
The cost of a single prescription rose by 25p to £9.90.
Meanwhile, the cost of a prepayment certificate rose by £2.90 to £114.50.
The Government may decide to do the same in 2025.
It is not yet clear how much prescription costs could rise by next year.
What to do: If you get lots of prescriptions, consider a Prescription Prepayment Certificate.
These cover all your NHS prescriptions for a set price.
The NHS says you will save money if you need more than 3 items in 3 months, or 11 items in 12 months.
The prescription charge in England is currently £9.90. A PPC costs:
If you’re on benefits or a low income you might be eligible for free prescriptions.
You can use the eligibility checker here to find out.
By May 26 the energy regulator Ofwat will announce the energy price cap for July 1 to September 30.
This will decide how much households will pay for their gas and electricity during the summer months.
What to do: Check how much you are spending on your gas and electricity each month.
Compare it to how much you would pay if you locked into a fixed tariff to see whether you could save money.
The Radio Teleswitch Service uses radio signals to tell some electricity meters to switch between peak and off-peak rates.
It will be shut down and the service which uses it will end on June 30, 2025.
Homes which use this service for their heating and hot water could be impacted if they are not upgraded.
What to do: If you think you could be affected then contact your energy supplier to check if your meter needs replacing.
The mortgage guarantee scheme allows lenders to offer 95% deals for first-time buyers and people who want to move home.
To be eligible they must have a deposit of between 5% and 9.99%.
GETTING on the property ladder can feel like a daunting task but there are schemes out there to help first-time buyers have their own home.
Help to Buy Isa – It’s a tax-free savings account where for every £200 you save, the Government will add an extra £50. But there’s a maximum limit of £3,000 which is paid to your solicitor when you move. These accounts have now closed to new applicants but those who already hold one have until November 2029 to use it.
Help to Buy equity loan – The Government will lend you up to 20% of the home’s value – or 40% in London – after you’ve put down a 5% deposit. The loan is on top of a normal mortgage but it can only be used to buy a new build property.
Lifetime Isa – This is another Government scheme that gives anyone aged 18 to 39 the chance to save tax-free and get a bonus of up to £32,000 towards their first home. You can save up to £4,000 a year and the Government will add 25% on top.
Shared ownership – Co-owning with a housing association means you can buy a part of the property and pay rent on the remaining amount. You can buy anything from 25% to 75% of the property but you’re restricted to specific ones.
Mortgage guarantee scheme – The scheme opens to new 95% mortgages from April 19 2021. Applicants can buy their first home with a 5% deposit, it’s eligible for homes up to £600,000.
The scheme allows lenders to offer more mortgages with smaller deposits, helping thousands of people to get on the property ladder.
But it will close to applicants on June 30, 2025.
What to do: This may see some lenders stopping 95% mortgages or making them more expensive, so if you’re planning to buy, do so before the scheme ends.
You can hold a mortgage offer for up to six months, so it’s worth applying even if you won’t be ready to move for a couple of months after the deadline.
The energy price cap for July 1 to September 30 will come into force on this day.
British Gas estimates that on this day the price cap will fall from £1,810 to £1,775.
If true, the decrease would save customers £35 a year.
What to do: Take a meter reading before the new price cap comes into force.
This will ensure that you are charged accurately for the energy you used before prices changed.
Every supplier has their own policy on when you can submit a meter reading after the new cap comes in.
Check with yours how long you have to take one and submit it.
The deadline to make a second payment on account is July 31.
Payments on account help you to spread the cost of your tax bill by splitting it into instalments.
Each payment is half of the tax you owed last year.
They must be paid by midnight on January 31 and July 31.
What to do: You can check how much you owe and make payments through your online government account.
There is also an HMRC tool which you can use to check if you need to pay.
The maximum fees that universities can charge will rise from £9,250 to £9,535 a year. This will be the first increase since a freeze introduced in 2017.
What to do: You can get a student loan to cover your fees.
Inflation figures for July will be published on August 20, 2025.
This figures are used to calculate how much rail fares will increase by the following year.
The exact amount that rail fares will increase by is usually confirmed around the time the government publishes its Budget.
What to do: Keep an eye out for announcements around how this will impact prices in 2026.
To get the Winter Fuel Payment you must have received certain benefits such as Pension Credit and Universal Credit between September 16 and 22.
This is known as the “qualifying week”.
If the same rules apply next year then the qualifying week will begin on September 15.
What to do: Apply for any benefits which would make you eligible for a Winter Fuel Payment well ahead of September.
If you already receive a qualifying benefit then ensure you will receive it during the qualifying week.
On this date the government will publish its September labour market figures, which are used to calculate state pension rates.
The state pension increases every April in line with September wage figures, inflation or 2.5%, whichever is highest.
In 2024 the state pension was increased in line with wages, which rose by 4.1%.
What to do: Wait until the Government confirms how much the state pension will rise in 2026.
Check how much you could be entitled to so you can manage your budget the following year.
The energy price cap for the October 1 to December 31 period will come into effect on this day.
The amount that a typical family can expect to pay during this period will be published on August 27.
What to do: Take a meter reading and send it to your energy supplier before the new price cap comes in.
If you need to file a tax return then the deadline to register with HMRC is October 5.
You may need to do a tax return if you are self-employed and earned more than £1,000 last year or if you are in a business partnership.
To register visit the Gov.uk website.
What to do: To register, follow the instructions on the government’s website.
On October 22 the inflation figure for September will be published.
This is important because it is used to calculate how much benefits, the state pension and tax credits will rise.
The September inflation figure is used as part of the triple lock guarantee.
If it is higher than the wage figures published on September 16 and 2.5% then it will be used in the calculations.
The government usually confirms the exact amount that the state pension will rise at a later date.
What to do: Check the figures announced to understand how your payments from April 6, 2026 might be affected.
The deadline to submit a paper tax return is usually midnight on October 31 every year.
These forms can be downloaded from the Government website or you can request them by telephone.
They are then posted to the tax office, where they are registered.
It can take a few days for the tax office to receive your paper tax return in the post.
Submit it a few days ahead of this deadline to make sure it arrives on time.
What to do: You can download the form here or ring HMRC and ask them to send you one.
If you miss the deadline, you should submit as soon as possible.
If you’re able to file digitally, there is a later deadline of January 31.
We don’t know when the Budget will be, but it’s likely to be November.
What to do: Keep an eye on the Sun’s money pages throughout Autumn, where we will update you on the date of the budget and all the experts’ predictions for what it will include.
Black Friday will start on November 28 and will end on December 1 in 2025.
Although it was originally an American celebration, it has now become a worldwide shopping event.
What to do: Keep an eye out for deals and discounts in the run-up to Black Friday as some shops launch their offers early to entice shoppers.
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