April 1 has been branded ‘April cruel’s day’ this year because of the incredible rises in prices across so many areas. People who are already struggling with huge power bills and being able to afford food are being hit with increases in areas including prescriptions, water bills, broadband, council and flight tax.
Most local authorities are putting up council tax by 5% from April, meaning people living in a band D home can expect to pay about an extra £100 each year. On top of that, Matthew Upton, director of policy at Citizens Advice, said: “Millions of people will now have to stomach inflation-busting price hikes on their mobile and broadband contracts, totalling an average of £90 more a year.
“We called on these firms to support their customers during this uniquely challenging time, but they didn’t listen. Instead, they’re pushing ahead with these mid-contract price rises.
Read more: Nottingham and Nottinghamshire council tax going up - how much you could pay in 2023
“Ofcom should be holding these companies to account, but it’s kicked the can down the road with a review that won’t land until the end of the year. When the regulator does act, it must deal with this once and for all by banning any future mid-contract price hikes.”
Meanwhile, the Government’s Energy Bill Support Scheme comes to an end from April, leaving households having to find an extra £66 a month to cover their gas and electricity. Even prescription charges in England will rise by 30p from April 1, taking fees to £9.65 per item.
Household finances app Nous.co has calculated that a typical family will be £682.70 a year worse off as a result of the increases. Nous.co founder and chief executive, Greg Marsh, said: “These are worrying times, and this could push millions of families who are just about managing over the edge.
“And we are not just talking about those on lower incomes. Even dual income families with above average earnings will now be drawn into the struggle to afford to live.”
The cost of stamps
Stamps cost just one penny when they came into use in 1840. But as of April 3rd 2023, a first-class stamp will cost you £1.10 for a regular letter. That’s a 16% increase from 2022/23 and up 72% compared to 2016/17 when a first class stamp cost 64p.
Prices for large letters and parcels are also increasing, with a large letter costing from £1.60 (100g) up to £3.30 (750g). A small parcel will cost £4.19, while larger parcels will cost between £6.29 (2kg) and £11.99 (29kg). The Royal Mail was privatised in 2013.
As more people rely on digital communication channels, the volume of mail being sent has decreased, especially since the coronavirus pandemic. This has resulted in a decrease in revenue for Royal Mail, with the cost of stamps being increased to compensate.
The cost of water
The average annual water and sewage bill in England and Wales will be around £448 from April, an increase of 7% on the previous year. While that’s a significant increase (given it has increased by 15% since 2016/17), Water UK point out that the increase is lower than the inflation rate.
As with all other costs, the average water bill has of course been affected by rising inflation. But water prices are also affected by factors such as the need to invest in new infrastructure, the increasing costs of doing so, and climate change. In 2016/17 the average water bill was £389.
The cost of prescriptions
Prescription single charges refer to the standard fee patients pay for each item on their prescription unless they are exempt from charges or hold a prepayment certificate. The charge will be increasing from £9.35 to £9.65 in April.
This will be the first increase since the charge was frozen in 2022. This was the first time the fee had been frozen in over a decade, in response to the cost of living crisis. Prepayment certificates will also increase to £31.25 for three months, up from £30.25.
Since 2016/17 the prescription charge has risen by around 15%, with this most recent rise coming in at 3.21%. In 2016/17 the prescription charge was £8.40. Prescription charges are only still charged in England, having been abolished in Scotland, Wales and Northern Ireland.
NHS dental check
The NHS has said that standard charges will go up from April 25 - meaning that the price of a check-up will rise from £23.80 to £25.80 and a filling appointment will cost patients £70.70, up from £65.2. A check-up costs £19.70 in 2016/17.
The cost of Air Passenger Duty
Air passenger duty (APD) is a tax levied on passengers departing from airports in the United Kingdom. The amount of APD charged is dependent on the distance travelled and the class of travel. APD is designed to raise revenue for the government and also to discourage unnecessary air travel to reduce greenhouse gas emissions.
Looking at the reduced rate for Band B (flights in the cheapest class of travel, between 2,001 and 5,500 miles), the price will be £87. That figure has gradually increased over the last few years and is an increase of 19% since 2016/17 when it was £73.
TV licence
One of the few things that won’t be going up in price in April is your TV licence. The TV licence has been frozen at £159 since 2022 and won’t rise until April 1st 2024. Anyone who watches or records live TV is required to hold a TV licence and it is used to fund the BBC. In 2016/17 it cost £145.50.
The cost of a pint of milk
Considering the cost of a pint of milk is a good way to get an idea of the general cost of living when it comes to common groceries. From 2016 to 2021, the average price of a pint of milk hovered around £0.43 to £0.44, with only minor fluctuations. However, there was a significant increase in the price of milk from 2021 to 2022, with the average cost rising to £0.57.
In line with the cost of living crisis, this continued into 2023, with the average price reaching £0.69 as of January. That’s an increase of just over a fifth on the previous year and almost 62% compared to 2016.
The cost of Council Tax
Most local authorities are putting up council tax by 5% from April, meaning people living in a band D home can expect to pay about an extra £100 each year. Band D is the Council Tax band that’s usually used for comparison purposes and this year the average Band D rate is going up to £2,065. That’s an increase of 5% from last year, but compared to 2016/17 is an increase of 35%.
Authorities across Nottinghamshire are planning and approving the amount of tax they will charge residents for the next financial year. Starting from April, many authorities are deciding to increase the amount of tax they charge by the maximum amount allowed. Nottingham City Council was the first authority across Nottinghamshire to reveal its planned council tax increase for the upcoming financial year. The authority plans to increase council tax by 4.99% from April, which is the maximum amount allowed without holding a referendum.
For Band A properties, which make up the majority of Nottingham city households, the tax rise would mean paying an extra £65.04 for the year. This figure rises to £195.14 for the top Band H properties, which make up just 0.1% of Nottingham households. For details on all the council tax rises across Nottinghamshire read our article here.
The cost of broadband and home phone packages
Broadband and mobile phone prices are due to rise between 14% and 17%. Providers often link their annual price rises to January’s consumer price index (CPI) or the retail price index (RPI), which were 10.5% and 13.4% respectively.
BT, EE, Plusnet and Vodafone broadband contracts allow prices to go up by CPI plus 3.9%. At TalkTalk, it is CPI plus 3.7%, while Shell Energy can add CPI plus 3%. Sky and Virgin Media contracts allow mid-contract price increases but they do not stipulate a pricing formula in the same way as rivals. BT has confirmed an increase this year of 14.4% – CPI of 10.5% plus 3.9%. mCheapest broadband & home phone package in 2016 was £13. Now it’s £23.
Read next:
- Full list of benefits going up from April 2023 – from Universal Credit to state pension
- Ministers 'delay' state pension age rise to 68 – but over 50s must still wait longer for payments
- Single mums need to work until 93 to have as much pension as a man
- DWP State Pension and PIP claimants to receive up to £1,506 a month from April
- DWP State Pension error means thousands could be owed £6,900
