In June, a number of financial changes are due to occur that could affect your personal budget. Amid the newly announced general election, some of the changes include new cost of living payments for individuals living in specific areas.
In addition, some Universal Credit claimants may see their payments increase depending on when their last assessment period was. The Bank of England is also expected to make a major announcement that could affect the UK economy and your mortgage payments when it reviews interest rates in June.
Pet owners should be aware of the new law to avoid potential fines, and your cash may start showing up with notes bearing the likeness of King Charles. Here’s a comprehensive overview of all the currency changes that took place in June 2024, according to the Manchester Evening News.
Cancellation of multi-apartment tax relief – June 1
In the Spring Budget, Chancellor Jeremy Hunt confirmed that the Government would scrap the multi-dwelling relief for stamp duty land tax. Those who buy more than one dwelling in a single transaction – such as houses and flats bought together, mixed-use properties such as shops with flats above or houses with extensions – will no longer be able to take advantage of tax relief from 1 to above costs for larger purchases.
Initially, the relief was intended to attract investment into the private rented sector, but an evaluation of the process by HMRC found that it was making no significant difference and was instead leading to abuse of the system. The move has been criticized by private investors who claim that the stamp duty change will lead to a fall in property values. The chancellor said scrapping multi-dwelling assistance would save the Exchequer around £385m a year.
Payment of £80 for some through the Household Support Fund – 3rd June
Vulnerable households could start receiving benefits from the Household Support Fund after it was extended earlier this year. Councils use this fund to provide extra support to those struggling with the cost of living.
Support can take the form of free school meal vouchers or other vouchers to help pay for essentials such as clothes, rent and utility bills. Some households could even receive living expenses payments. This includes households covered by Cornwall Council, which has confirmed it will issue payments of £80 from June 3.
Not all households will be eligible for support through the HSF and many councils provide different forms of help. To find out if you qualify in your area, you should contact your council to find out what support they will have available through HSF in June.
New King Charles notes enter circulation – 5 June
From June 5, the likeness of King Charles will adorn British banknotes for the first time. His portrait will adorn the front of the notes and will also be featured in a portrait in a transparent security window that can be seen from both sides.
The back of the notes will retain its current design, featuring prominent British figures such as Sir Winston Churchill on the £5 note, Jane Austen on the £10, JMW Turner on the £20 and Alan Turing on the £50. Existing banknotes featuring the late Queen Elizabeth II will remain legal tender, with the old and new versions circulating together.
Cat owners face £500 fine – 10 June
The upcoming law requires all cats to be microchipped by that date, or owners could face hefty fines. The charity Cats Matter has highlighted that an estimated 25% of cats in the UK may not currently be microchipped.
A spokesman for the charity said: “Once the new law comes into force, owners who are found without a cat chip will have just 21 days to have it implanted. After 21 days, owners can face a fine of up to £500. They have done the hardest by changing the law. Now it’s up to cat owners to make sure it’s the success we know it can and will be.”
Bank of England Interest Rate Decision – 20 June
The Monetary Policy Committee (MPC) is due to review the national interest rate on 20 June. Earlier, the bank voted to keep interest rates at 5.25 percent, a 16-year high.
The bank has consistently expressed its intention to reduce inflation to 2 percent, which is likely to be one of the key factors to consider before members vote on a new interest rate. Encouragingly, inflation fell to 2.1 percent in April from 3.2 percent in March, the lowest level since July 2021 when inflation was recorded at 2 percent.
Interest rates play a vital role in determining the amount repaid on loans such as mortgages. Lower interest rates mean lower mortgage payments.
Despite a slight fall in mortgage rates since December, around 45 percent of fixed-rate mortgage holders are expected to face higher monthly payments when they refinance by the end of 2026.
Changes to Debt Relief Orders (DRO) – 28 June
The £90 charges were already removed in April this year and increases to the debt threshold and vehicle value will be implemented next month. The total amount of debt covered by a DRO will rise from £30,000 to £50,000, while the value of the 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, commented: “Some people need a car for work, mobility or family, but the value of vehicles has risen a lot in recent years. Increasing the value of the car you can own will enable more people to access DROs when they need them .
“And those who owe up to £50,000 but don’t have the money to repay creditors will be able to see a way out of overwhelming debt. The changes reflect the challenges people now face and will ensure DROs are available to people who really need the help. “
Read your meters before the new price cap – June 30
UK households are being urged to re-read their electricity meters before July 1, when the new energy price cap comes into effect. This simple measure, taken a day before the cap was introduced, could prevent ratepayers from being overcharged for electricity due to the energy companies’ method of estimating consumption. This strategic meter reading could also provide much-needed support should billing disputes arise or allegations of unfair charges be settled.
Letter from HMRC for families receiving child benefit
Looking ahead to June, parents in receipt of child benefit should look out for a letter from HMRC demanding a response, failing to do so could mean losing more than £1,300. These letters will be delivered between May 24 and July 17 and will require additional information.
Andy Wood of Crypto Tax Degens stressed the importance of quick action, saying: “Parents will soon receive a letter from HMRC asking them to confirm whether their child remains enrolled in full-time education or training. Remaining 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 vocational training).”
He went on to elaborate: “Child Benefit payments are substantial, with the potential to reach up to £1,331 a year for the first child and up to £881 a year for each subsequent child. The letter is due to be sent to all parents between 24 May and 17 July and will include A QR code that takes the recipient to the gov.uk website Once there, parents can conveniently renew their Child Benefit claim online.
“Gov.uk has warned parents that they have until 31 August to take action or their payments will automatically stop. Although Child Benefit payments are available to all individuals with children, those on higher incomes are required to pay the High Income Child Benefit Charge .”
New full benefit rate for some claimants
Some benefit claimants are still waiting to receive the new full rate introduced by the Department for Work and Pensions (DWP) last month, as the new rate will only come into effect during the first assessment period on or after April 8.
As benefit payments are made after the end of the first assessment period, some individuals may have received the previous rate this month because the assessment period started before 8 April. Therefore, if they have not yet been received, the new full rate should be paid from June 1.