May will see a range of financial changes and deadlines - from Universal credit to interest rates.
After a tough April, which saw bills increase and the cost of living crisis worsen, there are more changes for May people need to be aware of.
Interest rates are expected to rise and some more bills are set to change. Here The Mirror looks at what you need to know and how the changes will affect you.
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Universal Credit changes
A huge shake-up of the benefit scheme is set to come in this month. From May 9, up to 2.6million people on old-style legacy benefits are expected to start being moved over to Universal Credit.
The “managed migration” process to Universal Credit had been paused due to Covid. The Government wants everyone to be moved over by the end of 2024.
People will start getting a “migration notice” in the coming months, giving them a three-month deadline to claim Universal Credit or have their benefits stopped.
Only around 500 people will be moved to Universal Credit at first, but the Department for Work and Pensions (DWP) will ramp up the pace after a few months.
Those being affected are benefit claimants who get the following payments:
- Working Tax Credit
- Child Tax Credit
- Income-based Jobseeker’s Allowance
- Income Support
- Income-related Employment and Support Allowance
- Housing Benefit
If you claim the above benefits and want to move to Universal Credit straight away, you can asked to be moved over now - but do your research first.
Officials say 55% will be better off on the Universal Credit, but some will be worse off in the long term - and you can't move back to the old-style benefits once you're on Universal Credit.
You can use an online benefits calculator from charities such as Turn2Us and EntitledTo to see how the change will affect you.
Interest rates are likely to rise
On Thursday May 5, interest rates are expected to be hiked from 0.75% to 1%, in what would be the highest level for 13 years.
The Bank of England is battling to cool rising inflation, which hit a new 30-year high of 7% in March and is expected to reach 8% later this year.
The base rate is what the BoE charges other banks and lenders - this then affects what you're charged if you borrow money, and how much interest you get back on your savings.
For those with a tracker mortgage, this will affect your rate, which will go up as these move in line with the base rate.
If you have a fixed-rate mortgage deal then your rates won't change if interest rates are hiked.
Those who are on a standard variable rate (SVR) mortgage may see rates increase, as it'll be down to your lender to decide whether to pass on the increase.
For savers, interest rate rises are generally good news as it means you could see a higher return on your money if you've got a variable rate account.
However, there is no guarantee that banks and lenders will move in line with a potential hike - and some may take time to announce any changes
Council tax rebates will arrive if they haven't already
Some people across the country will have already received their council tax rebates - but others will see the money drop in May,
And some households face waiting months for the £150 to land in their account, with councils officially having until September 30 to issue the money.
The Mirror has checked in with dozens of local authorities and has highlighted 25 places where the rebates haven’t yet started to be processed. Some councils are expecting payments to start in May.
Those who pay their council tax by Direct Debit will receive the payments first, as councils have their details on the system already.
The council tax rebate will apply to homes in council tax bands A, B, C or D in England and Wales - roughly 80% of properties - but not those who live in council tax bands E, F, G and H (or I as well, in Wales).
Scotland residents will also be entitled to £150 off if they are in bands A to D - but they're also qualify if they're currently getting a council tax reduction as well.
Sky price increases
Sky landline customers saw the cost of making a call with Sky Talk on a home phone rise by 10% from the beginning of May.
It means you now pay 22p per minute, up from 20p, to talk to family and friends.
This applies to Pay As You Talk customers making outgoing calls to mobile and home phone numbers.
International calls may be charged at different rates, depending on your tariff.
If you're not happy with the price increases, you may want to consider looking for a cheaper deal by comparing prices online through Uswitch.com.
Those who are out of contract can leave fee-free, but those who are locked into a deal may have to pay an exit fee to leave.
You could also consider haggling with Sky, if you don't want to leave but want to lower your monthly bill.
Sky will also bring back EU roaming charges from May 3.
This will cost £2 per day for holidaymakers who use mobile data, make calls and texts outside the UK.
Voxi introduces EU roaming charges
Voxi - a sub-brand of Vodafone - is to introduce mobile roaming charges for new and existing customers who holiday in Europe from 27 May.
Customers will need to purchase a European roaming pass to make calls, send texts and use data in 49 European countries and destinations.
The roaming passes cost:
- £2 for a one-day pass
- £4 for a two-day pass
- £8 for a eight-day pass
- £15 for a 15-day pass
The roaming passes will also include unlimited texts and minutes, even if that's not what your UK Sim usually offers.
Tesco Clubcard deadline
Tesco shoppers have only a few weeks left to use £17million worth of unspent Clubcard vouchers before they expire in May.
The supermarket said the vouchers were issued in May 2020 and must be used by May 31, 2022.
Tesco Clubcard vouchers are issued every three months, in February, May, August and November, and are valid for two years.
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