Household bills are set to rise in April, impacting homes across the UK. The cost of living crisis has left many families in Wales facing financial challenges, with these impending increases only adding to their burdens. Among the bills expected to go up are council tax, energy bills, and food prices. These rises could have a significant impact on household finances, so it’s important for families to be aware of the changes coming their way.
Council tax is one of the bills that will see a significant increase. On average, council tax bills are expected to rise by around £100 for households in the UK. In Wales, most councils are considering raising council tax by between 4.5 and 9.8 per cent. For some areas, this could mean an increase of over £2,000 a year. The number of homes liable for council tax in Wales is also expected to rise by 0.5 per cent compared to last year, with 7,311 households set to pay.
Another bill that will see a rise is the TV licence fee. From April 1, the fee will increase by 2.9 per cent, with the cost of a colour licence going up from £169.50 to £174.50 per year. The increase in food prices is another concern, with inflation currently standing at 2.6 per cent in the UK. This means that the prices of goods and services have increased by 2.6 per cent over the past year, potentially leading to higher costs for consumers when shopping for groceries.
Broadband and mobile contracts are also set to see price hikes in April. Ofcom has mandated that price increases must now be clearly outlined in customer contracts, with some providers raising their prices by as much as 7.5 per cent. Customers of popular providers like BT, EE, and Vodafone will see their monthly bills increase, with some smaller providers offering fixed prices to shield their customers from mid-contract price rises.
Water bills are another expense that will increase for households in Wales. Dŵr Cymru announced that average household bills will rise by 27 per cent for the year 2025-26. Metered customers can expect to see their annual bills go up to £575, while unmetered customers will see an increase to £913 per year. The price increases are set by Ofwat, with water-only and wastewater-only customers also facing higher bills.
Energy bills are also on the rise, with the energy price cap set to increase by six per cent from April 1 to June 30, 2025. This means that the typical household that pays for electricity and gas via direct debit will see an increase of £9.25 per month, amounting to £1,849 per year. The rise in global wholesale energy prices is cited as the reason for the increase, highlighting the challenges faced by households in meeting their energy expenses.
As households brace for these rising bills, it’s crucial for families to budget and plan ahead to mitigate the impact on their finances. Exploring ways to save money and reduce expenditure can help alleviate some of the financial strain brought on by these increases. Seeking advice from financial experts and utilising resources that offer money-saving tips can also be beneficial in navigating these challenging times. By staying informed and proactive, households in Wales can better manage their finances and cope with the rising cost of living.