Eight cost of living support systems have been confirmed by the Government, including a 7% energy price cap reduction and two major DWP changes affecting millions in April
The Government has confirmed eight different cost of living support systems following the Prime Minister’s announcement of a £117 reduction in the energy price cap earlier today. Families across the country who are struggling financially could be eligible for this support.
Each cost of living boost has different eligibility criteria and only certain individuals will qualify for some – but two DWP changes below are among the main things happening in April. Other reforms include frozen rail fares and prescription charges as well as increasing wages.
Energy bills
Ofgem, the energy regulator, has confirmed that the energy price cap for April will decrease by seven percent. This will apply to all households, including those on fixed tariffs, and there is no need to claim or apply for it.
The exact amount each household saves will depend on their specific circumstances and energy usage but the average savings from this reduction is expected to be around £150, reports the Mirror.
Pay increases
From April, 2.7 million workers will receive a four percent pay rise as part of the National Living Wage and National Minimum Wage increase. Full-time workers on the National Living Wage will see a rise of £900 a year, whilst full-time workers on the 18-20 National Minimum Wage rate will see a £1,500 rise.
People can check the new rates that will apply to them on the GOV.UK website.
Rail fares frozen
For the first time in three decades, the government has capped rail fare increases across England and parts of Wales for 2026. This will apply to all regulated fares between major cities, saving the typical commuter hundreds in weekly work travel.
Prescription charges staying under £10
Prescription charges are also being frozen at the current cost of £9.90 per item. Prepayment Certificates and other existing exemptions and discounts will remain in place.
State Pension increase
From April, both the new and old state pension will be increased in line with the triple lock. The Department for Work and Pensions (DWP) says this will benefit millions of pensions with above-inflation payments.
However, it will put the state pension payments within spitting distance of the personal allowance threshold. After the increase, the full new state pension will equate to around £12,547.60 a year whilst the frozen personal allowance sits at £12,570.
Removing the two-child limit
After April, families with more than two children will be able to claim Universal Credit for each child in the household. Currently, parents can only claim the benefit for two children regardless of how many may be living in the home.
The DWP claims this will lift around 450,000 children out of poverty.
Government-funded childcare
Certain parents in England could be eligible for up to 30 hours a week of government-funded childcare for children from nine months old until school age. This is designed to assist working parents by saving them thousands each year, with further guidance for working parents available on the Government’s Best Start in Life website.
Free breakfast clubs for primary school children
Every primary school in England is set to receive a free breakfast club as part of the Government rollout. These 30-minute breakfasts aim to ensure pupils have the best possible start to their learning day and is intended to help improve behaviour, attendance and attainment.
