December can be a costly month with the holiday season, but there are other significant financial developments on the horizon that could impact your finances.
In the coming weeks, certain households can expect to receive a Christmas bonus payment, along with updates on inflation and interest rates. Additionally, ongoing winter assistance programs, such as Cold Weather Payments and the Warm Home Discount, will continue into December.
The Department for Work and Pensions (DWP) will soon distribute its annual tax-free £10 Christmas bonus to eligible households. To qualify for this bonus, individuals must be receiving specific benefits.
Inflation data from the Office for National Statistics (ONS) is scheduled for release on December 17, providing insights into price fluctuations. Meanwhile, the Bank of England will announce its next interest rate decision on December 18, with the current base rate at 4%.
Due to the upcoming Christmas and New Year bank holidays, benefit payments for thousands of individuals will be processed earlier. For instance, benefits due on Christmas Day or Boxing Day may be paid on December 24, and those scheduled for New Year’s Day could be received on December 31.
Self-assessment taxpayers looking to have HMRC collect owed taxes through their PAYE tax code must submit their online returns by December 30 if the tax bill is under £3,000 and they already pay taxes via PAYE.
Throughout December, support schemes like Cold Weather Payments, Winter Fuel Payments, and the Warm Home Discount will continue to offer financial assistance to eligible households.