September brings a fresh wave of financial changes that will impact wallets across the UK. While the weather cools down, the pace of change in household finances is heating up. Here’s your definitive guide to the five key money shifts you need to know about this month.
1. A Welcome Drop in the Energy Price Cap
Households can finally breathe a slight sigh of relief as the energy price cap falls from 1 September. Ofgem's new cap means a typical annual dual-fuel bill will drop to £1,568, a decrease of around £122 per year. This crucial change offers a much-needed reprieve for millions, though experts caution that bills remain significantly higher than pre-crisis levels.
2. Final Cost of Living Payment Lands
For eligible families, a vital lifeline arrives between 10 and 19 September. The DWP will disburse the last instalment of the £299 cost of living support payment. This direct help targets those on means-tested benefits, providing a crucial buffer against ongoing inflationary pressures.
3. Passport Fees Take Off
Planning a winter sun getaway? Apply now or pay more. From 11 September, the cost of a standard online adult passport application rises from £88.50 to £91. The postal application fee also increases. This hike underscores the importance of budgeting for all aspects of travel in advance.
4. New Rules for European Travel
The post-Brexit landscape for travel evolves again this month. The EU's Entry/Exit System (EES) is now expected to be operational from autumn, though an exact September date is unconfirmed. This automated IT system will register non-EU travellers each time they cross an EU external border. While it may cause initial delays, it aims to streamline border security in the long term.
5. Rail Fares Set for January Increase
While not a direct September change, this month's inflation data is critical. The July Retail Prices Index (RPI) figure, released in mid-August, traditionally determines the following year's rail fare increase. Commuters should brace for a significant hike in January 2025, making season ticket costs a pressing concern for many budgets.
Staying informed is your first line of defence in managing your money. With these changes on the horizon, reviewing your budgets, benefit eligibility, and travel plans now could save you significant stress and cash later in the year.
