Money changes to be aware of in September – from inflation to interest rates
As the summer comes to an end, pockets may be tight after three months of holidays, BBQs and entertaining the kids over the break.
Despite inflation continuing to fall, prices are still high, and as the nights begin to draw in and the days get colder, more money is likely to be spent on energy bills.
With the cost of living crisis still in full swing, its a good idea to be aware of any financial changes that are happening to help with budgeting for the cooler months ahead.
Here’s a break down of all of the money changes you can expect in September.
Bank holiday benefit changes
If your usual benefit payment date falls on a bank holiday, you will usually get your payment on the working day before (although this may differ for Tax Credits and Child Benefit payments).
Whilst there are no bank holidays for most of the UK in September, there are local holidays in the following areas:
- Glasgow and Aberdeen – local holiday on September 25
- Edinburgh – local holiday on September 18
The DWP warns that this means that Child Benefit payments may be delayed to those living in the above areas.
Inflation figures
Every month, the Office for National Statistics releases the inflation rate for the previous month.
To do this, they gather a selection of goods and services that make up a ‘basket’ and compare their prices to those from 12 months ago.
This comparison is known as the Consumer Price Index (CPI), and if it’s high, it typically means that you’ll be paying more for your purchases, which affects the cost of living.
In the ONS’s most recent announcement in August, inflation decreased by a bit more than anticipated but is still at a level of 6.4%
Date: September 20
Interest Rates announcement
At the beginning of August, The Bank of England’s Monetary Policy Committee (MPC) voted to increase the base interest rate to 5.25% – its highest level since 2008.
The base rate affects everything from loan interest to mortgage repayments, meaning many will be eagerly awaiting the results of the next MPC meeting which will be revealed towards the end of September.
Date: September 21
MORE : All DWP benefits you can no longer claim when you reach State Pension age
MORE : How to avoid scams on the DWP cost of living payment
Follow Metro across our social channels, on Facebook, Twitter and Instagram
Share your views in the comments below