Several crucial money and Department for Work and Pensions (DWP) changes are on the horizon as March approaches. As we edge closer to this month, a number significant money-related changes are anticipated, including alterations to benefit dates from the DWP and adjustments in train fares.
There will also be announcements in Rachel Reeves’ Spring Statement and the conclusion of the current instalment of the Household Support Fund. Furthermore, for those in the property market, it’s the deadline for completing house purchases to sidestep stamp duty charges.
Speaking of stamp duty, this tax is graduated where different slices of the property’s price attract various rates. Notably, the UK government lifted the initial payment threshold for SDLT – stamp duty land tax – in September 2022.
There will also be important announcements concerning inflation, not to mention Bank of England’s interest rate decisions. Let’s unfold all the major financial developments expected in March and decode what they signify for you.
March 2 – Train fare hike
March 2 is earmarked for a train fare hike, with a 4.6% increase announced in the budget—exceeding inflation for just the second occasion in over a decade. Railcards costs will surge by £5 or nearly 17% too, reports Birmingham Live.
The fare uplift was set at 1% above the July retail prices index (RPI) inflation rate of 3.6%—significantly surpassing the more-commonly cited consumer prices index (CPI) inflation figure of 2.2%. Although Rachel Reeves didn’t address train fares in her fiscal speech, the government framed the upswing as “the lowest absolute increase in three years”.
March 20 – BoE interest rate decision
On March 20, the Bank of England (BoE) Monetary Policy Committee (MPC) will convene to determine its base rate. The current base rate stands at 4.5%, following another reduction announced by the Bank of England during its previous meeting in February.
This base rate is what the Bank of England charges other banks and lenders, which subsequently impacts the cost of borrowing for consumers.
March 26 – Spring Statement
Chancellor Rachel Reeves is set to present the Spring Statement on Wednesday, March 26. The Chancellor has confirmed to the House of Commons that the Office for Budget Responsibility (OBR) has been tasked with producing an Economic and Fiscal Forecast, due to 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.
March 26 – Inflation data
The latest inflation data from the Office for National Statistics (ONS) will also be released on March 26. Inflation represents the change in prices over time.
According to the most recent update from the ONS, inflation has climbed to 3% – its highest level in ten months. Inflation peaked at 11.1% in October 2022.
March 31 – Household Support Fund to end
The current iteration of the Household Support Fund is set to conclude on March 31, 2025, after several extensions. This fund provides qualifying families with assistance for necessities such as fuel and food.
The ongoing period for the Household Support Fund spans from October 1, 2024, to March 31, 2025. Liverpool Council, for example, said: “We have allocated the Household Support Fund to those who need help most with food and energy costs, as detailed below. The council, or one of our partners, will contact eligible households directly, unless we have indicated below that you need to make an application.”
March 31 – Winter Fuel Payment claim deadline
In addition, the final date to submit claims for the Winter Fuel Payment for 2024/25 is also March 31. Individuals born on or before September 23, 1958, might be entitled to receive £200 or £300 to assist with their heating bills during the winter of 2024 to 2025, known as ‘Winter Fuel Payment’.
Eligibility may depend on whether you or your partner are in receipt of certain benefits. The extra Pensioner Cost of Living Payment that was distributed in 2022 and 2023 will not be included, as it ended in the winter of 2023.
Those who are eligible should 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, it’s worth checking if you need to submit a claim. The majority of those eligible receive their payments 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
Beneficiaries of five specific benefits must transition to Universal Credit by the end of March or face payments being stopped. Final migration notices for recipients of these five legacy benefits were dispatched by the close 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 below State Pension age). All five benefits will cease permanently from April.
If you received a managed migration notice in December 2024, you should apply for Universal Credit by the end of March to ensure uninterrupted continuation of your payments.
March 31 – Stamp duty deadline
The last day to finalise a house purchase and avoid increased stamp duty rates is March 31. For Stamp Duty calculations, the date of legal completion is key.
The contract exchange date or the initial sale/purchase agreement date are not considered. This is an important point to remember.
Therefore, any transaction legally completed on or after 1 April 2025 will incur higher SDLT rates than those completed on or before 31 March. The impending changes will impact first-time buyers, home movers, and investors or second property owners.
March – DWP payment dates
Benefits payments from the Department for Work and Pensions (DWP) are typically deposited 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.
As there are no bank holidays in March for England, Wales, and Scotland, benefit payments will only be affected if the designated day falls on a weekend, in which case the payment will be made on the preceding Friday. However, Northern Ireland has bank holidays on Monday 17 and Tuesday 18 March.
Benefit payments in Northern Ireland are managed by the Department for Communities, and in the event of a bank holiday, payments are made on the last working day before the bank holiday, which in this case would be Friday 14 March.