Financial matters

[SteveH]

Home sales will "jump" at the beginning of next year as people try to buy before the rise in stamp duty, one of the UK's biggest lenders has predicted.

From March 2025, changes introduced in Wednesday's Budget mean many will pay the tax when they would not have done previously.

Nationwide said this would affect one fifth of first-time buyers.

However, the impact of these changes is not expected to be as big as previous ones because high interest rates are still putting off buyers.

"Affordability is also still relatively stretched at present as a result of the higher interest rate environment, which is acting to dampen housing market activity more generally," said chief economist Robert Gardner............ https://www.bbc.co.uk/news/articles/cq52z84v0gyo

[SteveH]

Deadline for changes to inheritance tax all pensioners need to know
Your pension might be hit with inheritance tax liabilities after April 2027, finds Samantha Leathers

It's time to pick through the bones of the autumn budget since we've had some time to digest it. Many were waiting to be hit by National Insurance liabilities but were left bracing for a punch that never came.

However, you'll have to take note of some under-the-radar changes to the inheritance tax to avoid being sucker-punched in 2027. You might have to review your pension pot but a group of experts have all the info you need to brace for the change...........https://www.inyourarea.co.uk/news/deadline-for-changes-to-inheritance-tax-all-pensioners-need-to-know?IYA-reg=49560bcd-5a9c-47f0-8fc5-ba2e71710589

[Hugo]

Full list of pay rises set to be given to councillors in North Wales county
The council leader's salary is set to rise above £66k per year


https://www.dailypost.co.uk/news/north-wales-news/full-list-pay-rises-set-30346426

[SteveH]

New research has revealed the areas of England and Wales with the least energy efficient homes. The top 10 areas with the lowest energy performance certificate (EPC) energy ratings include six Welsh counties, with Gwynedd at number two and only the Isles of Scilly coming out worst, at the top of the table.

Switching website Utility Bidder say they have analysed official government data to reveal the parts of England and Wales with the most energy-efficient dwellings and those with the least, considering average energy consumption, CO2 emissions, heating costs, and hot water costs before awarding each local authority and region an ‘Energy Efficiency Score’ out of 10.

Within the top ten and joining Gwynedd within the top ten for lowest EPC is the Isle of Anglesey at number three, Conwy at four, Ceredigion at five, Powys at joint six with Newcastle-under-Lyme and Carmarthen at 10. .............https://www.walesonline.co.uk/news/wales-news/pension-fund-cant-withdraw-10m-30350190?int_source=mantis_rec_top&int_medium=web&int_campaign=more_like_this_top

[SteveH]

Chancellor Rachel Reeves is planning what she calls the "biggest pension reform in decades" in an attempt to boost economic growth.

The government wants to merge the UK's 86 council pension schemes into a handful of "pension megafunds".

It is hoped the changes will lead to billions of pounds being invested in the UK in areas such as energy infrastructure, tech start-ups and public services.

Reeves told the BBC that UK public sector pension funds in their current form were not big enough to generate good returns for British savers, but some argue the changes are not without risk....................https://www.bbc.co.uk/news/articles/c4gve4d8jljo

[SteveH]

The UK economy barely grew between July and September, with uncertainty about the Budget being blamed for the weak growth.
The economy slowed over the three-month period, growing by just 0.1%, and shrank during September itself.

Labour made boosting economic growth its top priority when it came into power but Chancellor Rachel Reeves said she was "not satisfied" with these latest figures which cover the first three months of the new government.

However, many businesses have criticised tax rises in the Budget which they say will lead to higher prices and fewer new jobs.

Major companies, including Marks & Spencer, Sainsbury's and JD Sports have hinted they will increase prices because of the changes.
cont ............ https://www.bbc.co.uk/news/articles/cwygw982e3xo

Now this is serious...........
Typhoo Tea is set to appoint administrators as the 120-year-old brand's sales slump, losses widen and debts rise.
The company has filed a notice at court "which affords the company some breathing space to explore solutions", Typhoo's chief executive Dave McNulty told the BBC.

The firm has been trying to turn itself around for some time.

However, it suffered a setback after trespassers damaged its former factory in Moreton, Merseyside last year.

"Given the delicate nature of this we are not in a position to comment any further," said Mr McNulty...https://www.bbc.co.uk/news/articles/c5yr22qq5q8o

[SteveH]

Energy prices set to rise again in January leaving people 'in the cold'
It has been hoped energy costs would fall in the New Year

https://www.dailypost.co.uk/news/north-wales-news/energy-prices-set-rise-again-30392692

[SteveH]

A rise in energy prices pushed UK inflation to its highest rate for six months, official figures show.

The inflation rate, which measures price changes over time, hit 2.3% in the year to October, a bigger-than-expected increase from 1.7% in September.

Annual gas and electricity bills for a typical household went up by about £149 last month, but prices are rising much more slowly than in recent years.

The latest inflation figure comes after the government revealed that an additional 50,000 pensioners will be living in relative poverty next year as a result of cuts to the winter fuel allowance.............https://www.bbc.co.uk/news/articles/c8rl4rgdj12o

[SteveH]

The UK is above its inflation target - here's how it affects you
Inflation impacts your weekly shop, your electricity bill and more.
According to new figures, UK inflation has climbed above the Bank of England target. In the 12 months to October 2024, inflation increased to 2.3% which was up from 1.7% in September - this was because of higher energy costs.

This is the biggest month-on-month increase in the last two years but it is still far below its peak of 11.1% in October 2022. The Bank of England is aiming to achieve 2% inflation while previous decreases in inflation could lead to interest rates for loans being cut...............

https://www.inyourarea.co.uk/news/the-uk-is-above-its-inflation-target-heres-how-it-affects-you-2?IYA-reg=49560bcd-5a9c-47f0-8fc5-ba2e71710589

[SteveH]

Shop sales in surprise fall as Budget fears hit spending
Retail sales fell last month as shoppers held back on spending ahead of the Budget, according to official figures.

Sales volumes fell by 0.7% in October, the Office for National Statistics (ONS) said, with clothing stores having a "notably poor" month.

Speculation over which taxes might be increased ahead of last month's Budget has been cited as a reason why households and businesses were more reluctant to make spending decisions.................https://www.bbc.co.uk/news/articles/c4gmy9xldgno


Energy bills to rise for second time this winter
Energy bills for a typical household will rise again in January, with prices expected to remain relatively high throughout the next year.

It is the second rise this winter and means someone paying by direct debit and using a typical amount of gas and electricity will pay £1,738, or £21 a year more, with bills now over 50% higher than pre-Covid levels.

Energy bills have been high for three years, which charities warn has left many struggling to cope and choosing to go without heating at the coldest time of year.................https://www.bbc.co.uk/news/articles/cz6jvl9w7p6o

[DaveR]

Sadly, the recent Budget will inevitably result in the UK entering a recession, in my view.

[SteveH]

Cash use in the shops rose for a second year in a row after a decade of falls, according to retailers.

Notes and coins were used in a fifth of transactions last year, the British Retail Consortium (BRC) said, as shoppers found cash helped them to budget better.

The amount spent per purchase also dropped slightly from £22.43 in 2022, to £22.03 last year, it said.

The findings were published after charities told a committee of MPs that numerous groups were excluded from essential services and community venues that had started to refuse cash...........https://www.bbc.co.uk/news/articles/c1el81lenq1o

[SteveH]

Five things to look out for in the Welsh budget

Mark Drakeford is preparing to outline the Welsh government's £25bn spending plans that will take Wales into 2026.

Wales' finance secretary will publish the budget, which impacts the economy and some taxes paid by people and businesses, on Tuesday afternoon.

But with Labour just short of a majority in the Senedd, a deal must be struck with another party in order to get it through.

Here is what to look out for.................. https://www.bbc.co.uk/news/articles/c3dx5l99mvno

[DVT]

Why should anyone trust Drakeford with the finances - this is the guy who spent a huge amount of money on the 20mph farce, and even more on getting another 96 members of the Senedd, as well as spending on pet projects and wasteful amounts on other things.  He is a failed finance minister, a failed health minister, and a failed first minister - now coming round to be a failed finance minister for a second time.  And his successors have been, or are, just as bad.

[Robert2020]

3.7% increase for Conwy........

https://www.gov.wales/written-statement-provisional-local-government-settlement-2025-26#:~:text=In%202025%2D26%2C%20local%20authorities,compared%20to%20the%20current%20year.

Not a good outcome for the rate payer who I think will see another big increase