Your pay, energy bills and savings: How the Budget affects you
Changes announced by Chancellor John Healey in his first Budget will affect your finances directly. Here's how.
By BBC News
Families will receive targeted help with energy bills under Chancellor John Healey’s first Budget, including a one-off £100 payment for eligible households in England.
The Household Energy Payment will be available to people living in council tax bands A to D. The money is due to be paid directly into bank accounts from January.
The payment will be funded through additional tax on banks. Although it is intended to help with energy costs, recipients will be able to spend it as they choose.
Households in Scotland, Wales and Northern Ireland will receive equivalent funding. Their devolved administrations will decide whether to introduce the same payment.
The support comes as energy bills are forecast to rise sharply in January. Some estimates suggest a typical annual bill could increase by about £400 to around £2,100.
The Budget also extends the cut in VAT on electricity bills until July. The reduction had been due to end in April.
Gas standing charges will be scrapped in England, Scotland and Wales next year, or as soon as possible afterwards. These are the fixed daily fees paid for being connected to the gas supply.
Instead, the cost will be added to the price paid for each unit of gas. Treasury calculations suggest about 60% of households will save an average of £45 a year under the change.
Lower-use households are expected to benefit most. People who use more gas, including those in larger homes and some large low-income families, could pay more than they do under the current system.
The government has said it wants to make similar changes to electricity standing charges at a later stage.