The financial changes to expect in 'Awful April'

Millions of households are facing higher bills from this week in what is being dubbed "Awful April".

Despite "some respite" from rising wages and benefits, "budgets are expected to be squeezed", said The Guardian. Everything from council tax to energy bills is set to go up from this month as the new financial year begins.

Annual bills are expected to rise by more than £400 on average, "prompting fresh calls for government intervention", said The Independent.

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It's "bad news" for your wallet, said MoneyWeek, and comes as inflation "more broadly is on the rise again".

Wages

Full-time workers are set to be £1,400 better off, said Gov.uk, as the National Minimum Wage and National Living Wage both increased from 1 April.

The National Living Wage for those aged 21 and over rose from £11.44 per hour to £12.21 per hour.

The National Minimum Wage for 18- to 20-year-olds rose from £8.60 to £10 per hour.

The apprenticeship rate, and for 16- to 17-year-olds, rose from £6.40 per hour to £7.55 per hour.

But while the government claims this will put "more money in people's pockets", said The Sun, "many are not convinced" – especially with other bills rising.

Council tax

Local authorities can increase council tax bills by up to 4.99% but six – Bradford, Newham, Windsor and Maidenhead, Birmingham, Somerset and Trafford – have been given "special permission" to exceed the cap this year, said MoneyWeek.

Checking your home's council tax band "could save you some money", added the financial website. If yours has been put in a more expensive band in error, you could "be due a bill reduction and potentially even a council tax refund".

Energy bills

The energy price cap has increased by 6.4% to £1,849 per year for a standard variable tariff.

An average household paying by direct debit for gas and electricity will pay an extra £111 per year.

Those on variable tariffs may face "large fluctuations" in their bills, said London's The Standard, and many energy suppliers are offering fixed-price deals to attract customers, "undercutting the price cap".

But the "rule of thumb" when deciding whether to move to a fixed tariff, said MoneySavingExpert Martin Lewis, is that you will save money "if you find a fix for up to 5% less than the new price cap".

Broadband and mobile phone bills

Millions of broadband and mobile phone customers are facing mid-contract price hikes and some will rise by the rate of inflation, said the Daily Mail, while "others may face fixed hikes depending on when they signed up or upgraded".

Industry regulator Ofcom has banned inflation-linked mid-contract price rises since January 2025 and suppliers must now instead set out how much the increases will be in pounds and pence.

This means customers with cheaper bills will end up paying "far more", said the Daily Mail, while those on "older and more expensive contracts" will see the largest increases.

Water bills

Water bills are rising by up to £10 per month on average but it will depend on your region and supplier.

For example, Southern Water bills are set to jump by 47% to £703 per year, while Anglian customers are paying 19% more at £626.

The increases are front-loaded for the first five years, said BBC News, so the "biggest rise is coming this year".

Unlike with energy bills, you can't choose your water company. So, this means you either absorb the financial hit or "see if you can cut back on consumption", said The Guardian.

With costs rising, added MoneyWeek, you should look to increase your savings and most financial planners recommend an emergency savings pot to "cover at least three to six months of essential spending" or "even more" – up to three years – if you are retired.