The four bills NOT rising this Friday – how to cut them and pay even less

FROM energy to council tax, millions of us are facing rising bills in just a few days time piling pressure on household budgets.

But there is a small ray of sunshine among the gloom because some bills are NOT rising this year.

GettySome costs have been frozen – and you could even cut these bills further[/caption]

You wont pay more income tax from April, or higher amounts for prescriptions or a TV licence.

There’s even ways you could reduce these costs further, and it could help you cover the cost of those bills rising elsewhere.

TV licence fee FROZEN

Millions of Brits won’t pay more for their TV licence fee in a rare bit of good news for squeezed household budgets.

The government has confirmed that it will freeze the charge for watching telly until 2024 helping cushion the cost of living crisis.

That means the £159 you pay now will not change this year.

The TV licence fee usually goes up each year in April and last year went up from £157.50.

It was the fifth year in a row the price of a licence increased and back in 2016 it cost £145.50.

The fee is set by the government and has risen in line with inflation every year since 2017 – until now.

It’s far from the biggest bill you’re likely to be paying, but every little counts.

How to cut your TV licence bill

And in fact it’s worth checking if you, or someone you know, could be saving on the fee altogether to save even more cash.

Telly watchers legally have to pay the annual licence fee when they’re watching any live TV or on BBC iPlayer on any device.

If you don’t have one it’s a criminal offence and you could be landed with a fine of £1,000.

But some people may be exempt from paying, saving them £159 a year.

A licence used to be free for all over-75s but that was scrapped last year. Instead it’s now only certain people this age or over who can get an exemption.

Pensioners on low incomes who are entitled to Pension Credit can still get the TV licence for free.

Pension Credit is a benefit designed to boost incomes, but it’s estimated 1million are entitled to it and don’t claim.

That means they many are missing out on the free TV licence and other help too.

Here’s more on how to get a free TV licence, including who’s eligible and how to apply.

Prescription costs FROZEN

Prescriptions are another charge which usually increase each year – but this year they won’t.

The government has confirmed that prescription prices will be frozen offering a bit of relief for those struggling with rising bills, particularly anyone vulnerable or in ill health.

The current cost of £9.35 for a single prescription will stay in place for the year ahead, and health minister Edward Argar said there “is currently no planned announcement on any future increase” either.

Last year the price of prescriptions jumped by as much as £2.20 and this year’s freeze is the first time the costs have not been increased for 12 years.

How to cut your prescription bill

A single prescription, although staying the same price, might not be the cheapest option for you.

A prescription “season ticket” covering three months of medication can work out more cost effective if you have medication frequently.

The price of this for three months is £30.25 and one covering 12 months will set you back £108.10.

Both these prices have been frozen too.

Meanwhile you might get your prescriptions for free, for instance if you’re aged over 60, have just had a baby, are claiming certain benefits or have a health condition like cancer or epilepsy.

You can easily check if you can get free prescriptions using the government’s eligibility checker.

This same checker can also tell you if you’re entitled to other free health related support, like free glasses and sight tests or dental treatment.

It’s also worth checking if you can get the medication you’re prescribed cheaper over the counter without the Drs note, but this will depend on what the item is.

Plus, you could ask the doctor to prescribe more per prescription, for example three months worth instead of one.

Check out our full guide to reducing your prescriptions costs.

Income tax FROZEN

Income tax rates are not changing this year, so you won’t see your tax bill rise because of this.

You pay tax at 20% on income over £X and up to £X, and then 40% on income over that amount.

But, it can be a little more complicated than that because of other factors.

For instance, if you are getting a pay rise this year, you’re still likely to pay more tax, as how much you pay is a percentage of your earnings.

Meanwhile from July, the rates for income tax won’t change, but the amount you can earn before you start paying any tax (the personal allowance) will rise to £12,570 a year.

It means you can earn more without paying income tax – but not necessarily everyone will be better off.

What IS rising in April is National Insurance, but 1.25 percentage points.

So you might pay more on NICs from April and then less from July when the personal allowance increases.

Whether you’re better off or not really depends on your circumstances, but experts say that if you’re earning less than around £35,000 to £40,000, then you stand to be better off overall from the two changes together.

Income tax rates will change, the Chancellor Rishi Sunak revealed in his recent Spring Statement with the basic rate cut from 20% to 19%.

But you’ll have to wait until 2024 for that.

How to cut your income tax bill

Until then, there are still ways to cut your income tax bill, and that could help cover the cost of other bill rises.

Married and civil partnered couples can take advantage of a tax break worth hundreds a year.

The marriage allowance lets you transfer your unused personal allowance to a partner who’s earning less than £50,000 year.

Here’s everything you need to know about claiming the tax break for couples.

Millions of people can claim the working from home tax rebate if they couldn’t go to the office because of the pandemic – even if it was just a single day.

You can claim the cash, worth up to £500 if you backdate it up to the four years allowed, but the exact amount will also depend on your tax rate – here’s what you need to know.

Some workers can claim back money spent on uniform and other tools needed to do their job.

If you earn more that pushes you into a higher tax band, you can use salary sacrifice to reduce our tax bill.

Essentially you give up a portion of your salary, and spend it on certain things free of tax.

This includes pensions, childcare vouchers, bike-to-work schemes, and technology schemes.

This won’t boost your take-home pay, and could reduce it, but will cut your tax bill so consider carefully beforehand if you can afford this.

It’s also worth checking your tax code, Martin Lewis has warned, as you could be owed cash if it’s wrong.

Shell Energy bill rise delay

Broadband bills usually rise each year with inflation, adding more to your outgoings.

Shell Energy offers broadband services, as well as energy, and has said its delaying a planned bill hike until later in the summer.

That’s good news if you’re with the company as you won’t have a higher bill quite yet.

But the firm has not said exactly when they will rise, or by how hoe much when they do.

If you’re not with Shell Energy for your broadband, then you’re likely to see your bill rise from April 1.

Virgin, Sky, BT and Plusnet are among the providers putting up prices from Friday – exactly how much more you’ll pay depends on your usual bill as it’s usually a percentage increase.

But if you’re affected you don’t just have to accept paying more.

How to cut your broadband bill

Shopping around for a better deal can shave hundreds of your bill if you find a cheaper option.

This is especially the case if you are on a standard tariff or have been with your current provider for a long time.

According to Which?, some introductory offers can be up to 90% cheaper than a standard tariff.

Be sure to check the terms of your current contract though – if you’re out of contract, you can move without penalty, but otherwise you could end up having to pay a pricey exit fee.

If you’re planning on making the move, use comparison sites such as Uswitch, Broadbandchoices and ComparetheMarket to help scour the market.

You can also haggle with your current provider for a cheaper deal – they don’t have to offer you anything but are likely to as they don’t want to lose customers.

You can ask them to match any cheaper deal you’ve found elsewhere and if they can’t you can switch.

And we’ve seen many customers successfully haggle their bill – like this Virgin Media user who has saved £264 a year.

Many households on low incomes are eligible for social tariffs offered by providers, but they don’t know about it.

Millions could be missing out on savings of up to £234 on their bills by signing up to the cheaper option – here’s our guide on who’s eligible and how to apply.