There will be several financial changes in June that may impact your personal budget.
Some of the changes coming in the midst of the recently announced general election include new cost of living payments for some living in certain areas. Meanwhile, some Universal Credit claimants could see their payments increase depending on when their last assessment period took place.
The Bank of England could also make a major new announcement that will impact the UK economy as well as the amount you will repay on your mortgage when it looks at interest rates again in June.
Read more: The decision on increasing water bills to £666 in Greater Manchester will be postponed until after the election
There’s also a new law that pet owners need to be aware of, otherwise you could get caught and fined, and you could find banknotes with the image of King Charles in your money. Here you will find a complete overview of all monetary changes taking place in June 2024.
Abolition of the tax benefit for multiple homes – June 1
During the Spring Budget, Chancellor Jeremy Hunt confirmed that the Government will remove the stamp duty exemption on land tax for multiple residential properties.
Anyone who buys more than one home in one transaction – for example houses and apartments purchased together, mixed-use real estate such as shops with a flat above them, or houses with an outbuilding – will no longer benefit from the tax reduction from 1 June. and therefore pay more for larger purchases.
Initially the relief was intended to attract investment into the private rental sector, but a review of the process by HMRC found that this did not make a significant difference and instead led to abuse of the system.
The move has been criticized by private investors who say the change in stamp duty will lead to property values falling. The Chancellor said the abolition of Multiple Dwellings Relief will generate around £385 million a year for the Treasury.
£80 payment for some through the Households Support Fund – June 3
Vulnerable households could receive benefits from the Household Support Fund after it was extended earlier this year. Municipalities use this fund to provide extra support to people struggling with the costs of living. Support can come in the form of free school meals vouchers or other vouchers to help pay for essentials such as clothing, rent and utility bills.
Some households could even receive compensation for living expenses. This includes households covered by Cornwall Council, which confirmed they will make £80 payments from June 3.
Not all households are eligible for support through the HSF and many municipalities offer different forms of assistance. To find out if you qualify in your area, contact your local council to see what support they will have available through HSF in June.
New King Charles banknotes enter circulation – June 5
King Charles’ face will appear on banknotes for the first time from June 5. The king’s portrait will appear on the front of the banknotes, as well as in a cameo in the transparent security window visible on both sides.
Meanwhile, the images on the back remain unchanged: with Sir Winston Churchill on the £5, Jane Austen on the £10, JMW Turner on the £20 and Alan Turing on the £50.
The banknotes already in circulation featuring the late Queen will remain legal tender, with both versions circulating simultaneously.
Cat owners could be fined up to £500 until June 10
A new law is coming into effect that pet owners need to be aware of – or risk a hefty fine.
All cat owners must have their cat microchipped by June 10 this year or face a fine of up to £500. According to the charity Cats Matter, around 25 percent of cats in Britain may not be microchipped.
A spokesperson said: “Once the new law comes into effect, owners found without their cat microchipped will have just 21 days to have one implanted. After these 21 days, owners can be fined up to £500. We have the The hardest part is to change the law. Now it’s up to cat owners to make sure this is the success we know it can and will be.”
Bank of England interest rate announcement – June 20
Members of the Monetary Policy Committee (MPC) will review national interest rates on June 20. Previously, the Bank voted to freeze interest rates at 5.25 percent – the highest level in 16 years.
The Bank has consistently said it wants to reduce inflation to 2 percent and this is likely to be one of the key factors examined before members vote on the new 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 determine the amount repaid on loans such as mortgages. If the interest rate is lower, this means that the mortgage costs will also be lower.
Although mortgage rates have fallen slightly since December, about 45 percent of fixed-rate mortgage holders face higher monthly repayments when they revalue their mortgage by the end of 2026.
Changes to debt relief orders – June 28
Debt Relief Orders (DRO) will undergo a significant reform on June 28. The abolition of the £90 fees was introduced back 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 rise from £30,000 to £50,000, while the value of a vehicle a person can own when entering a DRO will rise from £2,000 to £4,000.
Andrew Shore, deputy 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 risen dramatically in recent years. will ensure more people have access to 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 find a way out of overwhelming debt. The changes reflect the challenges people are now facing and will ensure DROs are available to people who really need that help.”
Carry out a meter reading before the new price limit – June 30
Households are being urged to take a new meter reading before the new energy price cap comes into effect on July 1. By taking a meter reading the day before the limit comes into effect, bill payers can avoid being overcharged for their electricity due to the way companies estimate how much you pay for your usage.
Additionally, an accurate meter reading can provide an additional layer of support if you need to dispute a bill or argue that you have been charged incorrectly or unfairly.
HMRC letter for families receiving child benefit
Throughout June, families will receive letters that they must respond to or risk losing more than £1,300. HMRC will send letters requesting additional information between May 24 and July 17.
Andy Wood of Crypto Tax Degens highlighted the urgency, saying: “Parents will soon receive a letter from HMRC asking them to confirm whether their child will continue in full-time education or training. Whether you remain eligible for child benefit depends on whether you have a child under the age of 16 (or 20 if the child is in education or training).”
He explained: “Child benefit is a substantial amount, potentially increasing to £1,331 per year for the first child and up to £881 per year for each subsequent child. The letter is expected to be sent to all parents between May. July 24 and 17 and will include a QR code directing recipients to the gov.uk website. Once there, parents can easily renew their child benefit application online.
“Gov.uk has warned parents until August 31 to take action or their payments will automatically stop. While child benefit payments are available to all those with children, those on higher incomes are liable for the high child benefit.”
New full benefit rate for some claimants
Some benefit claimants are yet to receive the new full rate following its introduction by the Department for Work and Pensions (DWP) last month. This is because the new rate will only be paid in the first assessment period on or after April 8.
Because benefits are paid after the initial assessment period ends, some people may have received the old rate this month as the assessment period began before April 8. Therefore, the new full rate must be paid from June 1 if this has not been done. already received.