A well-organised calendar lets you map out the year ahead, helping you to stay on top of all your responsibilities.
When you are filling out your 2024 calendar, there are several important dates to be aware of that could affect your financial plan. Knowing when these significant events are happening could help you prepare ahead of time and limit any disruption to your finances.
In some cases, you may also want to take advantage of certain wealth planning opportunities before it’s too late.
Read on to learn about some of the key financial dates to add to your 2024 calendar.
6 March – Spring Budget
Chancellor Jeremy Hunt has announced that the Spring Budget will take place on 6 March 2024. This is slightly earlier than normal – the last Spring Budget was on 15 March 2023.
Some commentators believe this is an indication that the government plans to call a general election in May.
As ever, we can’t know for certain what the chancellor will announce in the Spring Budget, but he will deliver an overview of the economy and potentially reveal some proposed changes to legislation.
According to the BBC, Hunt hinted at further tax cuts, saying that “countries with lower taxes have ‘dynamic, faster growing economies’”.
There has also been talk of changes to Inheritance Tax (IHT) rules in recent months, as well as new help for first-time buyers. That said, this is only speculation, and the chancellor is yet to confirm anything.
Whatever Jeremy Hunt announces on the day, there is a strong chance that some of the proposed changes could affect your financial plan, so 6 March is a crucial date for your diary.
1 April – Council Tax and other bill increases
While they will remain frozen in Scotland, Council Tax bills are expected to rise across the UK from April onwards.
Councils in England normally can’t raise Council Tax by more than 5% without calling a referendum, so the increase is unlikely to be more than this in most areas.
However, the government has granted special permission to councils in Croydon, Slough, and Thurrock to increase tax by more than 5% to bridge large gaps in their finances.
According to Which?, the average Council Tax bill for a Band D property in 2023/24 is £2,065. A 5% increase on this bill could mean you pay £103 more each month.
The precise increase depends on your current Council Tax band and your council area, but you may be likely to pay more from April onward. If the council haven’t informed you about changes to your bill, you might want to contact them to find out what you will pay from April.
Other bills may increase too. For example, the TV licence fee will increase by £10.50 to a total of £169.50. Many broadband providers are also planning inflation-linked rises.
As a result, you could see a significant increase in your monthly outgoings, so you may need to budget for this.
Fortunately, the energy price cap is expected to fall, so your bills may come down (more on this later).
5 April – end of the tax year
The end of the tax year on 5 April 2024 is one of the most important financial dates as many tax-free allowances and exemptions reset at the start of a new tax year.
Using these allowances and exemptions could help you build wealth more tax-efficiently, so it may be important to take full advantage of them while there’s still time.
You may want to use your:
- ISA allowance
- Personal Savings Allowance
- Dividend Allowance
- Capital Gains Tax (CGT) Annual Exempt Amount
- Marriage Allowance
- Pension Annual Allowance
- Inheritance Tax (IHT) gifting annual exemption.
Additionally, there are some upcoming changes to certain allowances, such as the Dividend Allowance and the CGT Annual Exempt Amount, which could affect your financial plan.
Please get in touch if you need guidance about using your allowances and exemptions or have any questions about changes in the new tax year.
8 April – State Pension increase
Planned increases to the State Pension will take effect on 8 April, just after the start of the new tax year.
The government confirmed that the State Pension will increase by 8.5%. This means if you qualify for the full New State Pension you will receive £221.20 a week – up from £203.85.
If you reached State Pension Age before April 2016, you will receive £169.50 a week – up from £156.20.
This could offer a welcome increase to your income if you already claim your State Pension. And if you are still planning for retirement, you may want to factor this increase in when making calculations about your predicted income.
1 July and 1 October – new energy price caps
Rising energy prices have put pressure on many people’s finances in the last few years. The maximum amount that energy companies can charge per unit is capped, and this price cap changes in line with wholesale energy prices.
Events such as the war in Ukraine led to rising wholesale prices, and the cap increased to reflect this. As a result, many people saw a big increase in their energy bills.
Each quarter, the regulator, Ofgem reviews the price cap and if it falls, this could mean that your energy bills reduce.
It is predicted that the cap will fall in April, and there are two more reviews on 1 July and 1 October. Provided there are no significant changes to the international markets, experts predict that the cap will be reduced further.
According to the BBC, the average annual bill in July, once the price cap changes, is expected to be £2,054. By October, it could drop to £1,976.
Bear in mind that it is the unit price that is capped, not the total bill. As such, if your energy use is above average, you could pay more than this.
You may want to check the new energy price caps on 1 July and 1 October, so you are prepared for any changes to your energy bills.
16 October – September inflation announcement
Inflation has dominated headlines in the last few years as the prices of many goods and services increased.
High levels of inflation could affect your wealth as your outgoings may increase. It could also erode the buying power of your savings if they grow slower than the rate of inflation.
Additionally, the Bank of England (BoE) increased interest rates in an attempt to control inflation, leading to higher mortgage costs for many people.
As a result, you might have been keeping a close eye on announcements about inflation recently.
The Office for National Statistics (ONS) releases new data about inflation regularly throughout the year. Yet, you may want to pay particular attention to the September inflation announcement on 16 October.
That’s because the increase in the State Pension the following April is calculated based on the rate of inflation in September. As discussed earlier, any changes to the State Pension could affect your retirement planning calculations.
November – Autumn Statement
The Autumn Statement is usually the last big financial date of the year. The chancellor will likely deliver another update on the state of the economy and potentially announce some new legislation.
However, as we don’t yet know whether there will be a general election or what the outcome of that might be, it is difficult to speculate on when the Autumn Statement might happen, let alone what it may contain.
Get in touch
If you have any questions about how these key financial events might affect your financial plan, we are here to answer them.
Please get in touch to find out how our team of VouchedFor Top Rated planners could help today.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
Please do not act based on anything you might read in this article. All contents are based on our understanding of HMRC legislation, which is subject to change.
The Financial Conduct Authority does not regulate estate planning or tax planning.
A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance.
The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.