by There are a variety of financial changes to take place in June that may affect your personal budget.
Among the changes taking place in the midst of a newly announced general election are new cost of living payments for some living in certain areas. Meanwhile, some Universal Credit claimants could see their payments go up, depending on when their last assessment period took place.
The Bank of England could make a major new announcement affecting the British economy as well as how much you’ll pay back on your mortgage when it looks at interest rates in June.
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There’s also a new law that pet owners can be aware of, or you could get caught and face fines, and you might start seeing bank notes with King Charles in them some money. Here’s a full breakdown of all the currency changes that took place in June 2024.
End of Tax Break for Multiple Premises Relief – June 1
During the Spring Budget, Chancellor Jeremy Hunt confirmed that the government will scrap multi-dwelling relief for stamp duty land tax.
Those who buy more than one residence in a single transaction – for example, houses and flats bought together, mixed properties such as shops with flats above, or houses with an annexe – will not benefit from the tax relief no longer from June 1, and therefore pay more for larger purchases.
Initially, the relief was intended to attract investment in the private rented sector, but an HMRC evaluation of the process found that it did not make a significant difference and that the system was being abused as a result.
The move has been criticized by private investors who say the change in stamp duty will reduce property values. The Chancellor said that ending Housing Relief would raise around £385 million a year for the Exchequer.
Payment of £80 to some through the Family Support Fund – 3rd June
Vulnerable families could start receiving benefits from the Family Support Fund after it was extended earlier this year. Councils use this fund to provide additional support to those struggling with living costs. Support may be available in the form of free school meal vouchers or other vouchers to help pay for essentials such as clothes, rent and energy bills.
Some families may even receive living expenses payments. This includes families covered by Cornwall Council, which has confirmed it will issue £80 payments from 3 June.
Not all families will be eligible for support through the HSF and many councils are offering different types of help. To find out if you qualify in your area, you should contact your council to see what support they will have available through HSF in June.
New King Charles banknotes are put into circulation – 5 June
King Charles’ face will appear on banknotes for the first time from 5 June. The portrait of the King will appear on the front of the banknotes as well as a cameo in the prominent security window that can be seen on both sides.
Meanwhile, the images on the back will remain unchanged – Sir Winston Churchill on the £5, Jane Austen on the £10, JMW Turner on the £20 and Alan Turing on the £50.
Notes already in circulation featuring the late queen will continue to be legal tenders, with both versions being circulated together.
Cat owners could be fined up to £500 – 10 June
There’s a new law coming into effect that pet owners need to be aware of – or face a hefty fine.
All cat owners must have their cats microchipped before June 10 this year or risk being fined up to £500. According to the charity Cats Matter, around 25 per cent of cats in the UK may not be microchipped.
A spokesman said: “Once the new law comes into force, owners caught without a microchip on their cats will have just 21 days to get one implanted. After 21 days, owners can then face a fine of up to £500. it’s now up to the cat owners to make sure it succeeds and we know it can and will.”
Bank of England interest rate announcements – 20 June
Members of the Monetary Policy Committee (MPC) intend to review the national interest rate on 20 June. Before that, the Bank voted in favor of stopping interest rates at 5.25 percent – a 16-year high.
The Bank has consistently said it wants to reduce inflation to 2 per cent and is likely to be one of the main factors being examined before MPs vote on the new interest rate. Fortunately, inflation reached 2.1 percent in April, down from 3.2 percent in March, the lowest level since July 2021 when inflation was recorded at 2 percent.
Interest rates are used to help determine the amount paid back on loans such as mortgages. If interest rates are lower, it means mortgage payments will also be lower.
Although mortgage rates have fallen slightly since December, around 45 per cent of fixed-rate mortgage holders face higher monthly repayments when they reprice their mortgage by the end of 2026.
Changes to Debt Relief Orders – 28 June
Debt Relief Orders (DRO) will undergo a significant overhaul on 28 June. An end to £90 fees was already implemented in April this year, with an increase in the debt threshold and vehicle value coming into effect next month.
The total amount of debt covered by a DRO will increase from £30,000 to £50,000 and the value of a vehicle that a person can own when entering a DRO will increase from £2,000 to £4,000.
Andrew Shore, Assistant Director of Policy at the Insolvency Service, said: “Some people need a car for work, mobility or family reasons, but the value of vehicles has increased dramatically in recent years. Increasing the value of the car you can own will enable more people to access a DRO when they need one.
“And those who owe up to £50,000 but don’t have the money to make repayments to creditors will be able to see a way out of huge debts. The changes highlight the challenges people now face and they will ensure that ORO is available to people who really need that help.”
Take a meter reading before the new price limit – 30 June
Households are being urged to take a fresh meter reading before the new energy price cap comes into force on 1 July. By taking a meter reading the day before the limit comes in, bill payers could avoid being overcharged for their electricity due to the way businesses estimate. how much you pay for your usage.
In addition, an accurate meter reading can provide an extra layer of support if you need to dispute a bill or claim that you were wrongly or wrongly charged.
HMRC letter for families receiving Child Benefit
Throughout June, families will be receiving letters that they must respond to or risk losing over £1,300. HMRC will be sending out letters between 24 May and 17 July, asking for further information.
Andy Wood from Crypto Tax Degens highlighted the urgency, saying: “Parents will soon receive a letter from HMRC, asking them to confirm whether their child is still enrolled in full-time education or training. Remaining eligible for child benefit depends on whether you have a child. a child under 16 (or 20 if the child is in education or training).”
He explained: “Child benefit payments are a substantial amount, and can reach up to £1,331 a year for the first child and up to £881 a year for each additional child. The letter is to be sent to all parents between May. 24 and 17 July and will feature a QR code which will direct recipients to the gov.uk website Once there, parents can conveniently continue to renew their child benefit claim online.
“Gov.uk has warned that parents have until August 31 to take action or their payments will automatically stop. Although child benefit payments are available to all people with children, those who have a higher income are liable to pay the High Income Child Benefit Charge.”
New full benefit rate for some claimants
Some benefit claimants are yet to receive the new full rate after it was introduced last month by the Department for Work and Pensions (DWP). This is due to the fact that the new rate is not paid until the first assessment period on or after 8 April.
As benefit payments are issued after the first assessment period closes, some people may have received the old rate this month as the assessment period started before 8 April. Therefore, the new full rate should be paid from 1 June if it has not been received. already received.
