Seven key changes from the money sector and the Department for Work and Pensions (DWP) set to kick in from March have been unveiled, heralding several major financial shifts for the upcoming month. In addition to alterations in benefit schedules set out by the DWP, are on the horizon.
The Chancellor's Spring Budget from Rachel Reeves is also part of the mix, alongside the final opportunity to complete house purchases for those aiming to dodge stamp duty charges.
The tax operates on a tiered system, charging varied rates on different property price segments. The UK government augmented the SDLT threshold for starting payments back in September 2022.
March will usher in crucial revisions not just for inflation but also the Bank of England's interest rate and some changes to benefit payment dates. Here's a rundown of all the substantial modifications you'll see in March and their implications for your wallet.
March 17 &18- Benefit payment date changes
As for DWP payment dates in March, benefits are typically paid directly into the claimant's bank, building society, or credit union account.
If a payment date falls on a weekend or a bank holiday, the claimant is usually paid on the preceding working day. There are bank holidays in Northern Ireland on Monday 17 and Tuesday 18 March.
Benefit payments are managed by the Department for Communities in Northern Ireland, and in the event of a bank holiday, payments are made on the last working day before the bank holiday, which is Friday 14 March.
March 20 - BoE interest rate decision
On March 20, the Bank of England (BoE) Monetary Policy Committee (MPC) will convene to set its base rate. The current base rate stands at 4.5%, following another cut announced by the Bank of England during its last meeting in February.
The base rate is the interest that the Bank of England charges other banks and lenders, which subsequently impacts the cost of borrowing money for consumers. .
March 26 - Spring Budget
Chancellor Rachel Reeves is set to deliver the spring Budget on Wednesday, March 26. The Chancellor has confirmed to the House of Commons that the Office for Budget Responsibility (OBR) has been commissioned to produce an Economic and Fiscal Forecast, which will be published on March 26, 2025.
This aligns with the Budget Responsibility and National Audit Act 2011, which mandates the OBR to generate two forecasts each financial year. The Chancellor will accompany this with a statement to Parliament.
The Chancellor remains dedicated to maintaining one major fiscal event per year to provide families and businesses with stability and certainty regarding upcoming tax and spending changes, thereby supporting the government's growth mission.
March 26 - Inflation update
The latest inflation data from the Office for National Statistics (ONS) will also be released on March 26. Inflation measures how prices have changed over time.
According to the most recent update from the ONS, inflation has risen to 3% - its highest level in ten months. Inflation peaked at 11.1% in October 2022.
March 31 - Winter Fuel Payment claims deadline
Additionally, March 31 is also the deadline for Winter Fuel Payment claims for the year 2024/25. Claims must be submitted to the Department of Work and Pensions by this date.
Individuals born on or before September 23, 1958, may be entitled to receive between £200 and £300 to aid in covering heating bills for the winter of 2024 to 2025, known as the 'Winter Fuel Payment'. Eligibility may depend on whether you or your partner are receiving certain benefits.
It should be noted that the extra Pensioner Cost of Living Payment provided in 2022 and 2023 has been discontinued as of winter 2023. Eligible recipients can expect to receive a letter in October or November detailing the amount they will receive.
If you haven't received a letter but believe you're eligible, check if you need to make a claim. Most eligible individuals receive payment in November or December.
However, if you're awaiting a decision on another benefit, such as Pension Credit, your payment may be delayed.
March 31 - Universal Credit migration deadline
March 31 marks the Universal Credit migration deadline.
Recipients of five benefits must have migrated to Universal Credit by the end of March to avoid their payments being stopped. The final migration notices for those receiving five legacy benefits were sent out by the end of December 2024.
The affected benefits include Working tax credits, Child tax credits, Income-based jobseeker's allowance, Income support and Housing benefit (for those under the State Pension age). All five benefits will be permanently discontinued from April.
If you received a managed migration notice in December 2024, you need to have applied for Universal Credit by the end of March to ensure your payments continue without interruption.
March 31 - Stamp duty deadline
March 31 is also the stamp duty deadline.
The last day to complete a house purchase and avoid higher stamp duty rates is March 31. For Stamp Duty calculations, the date of legal completion is key.
The date contracts are exchanged or the date a sale/purchase was initially agreed upon is not relevant. It's crucial to keep this in mind.
Therefore, any transaction that legally completes on or after 1 April 2025 will be subject to higher rates of SDLT than those completing on or before 31 March.
The upcoming changes will impact first-time buyers, home movers, and investors or second property owners.
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