Households across the UK are bracing for a significant financial hit in April 2025 as essential costs, including energy bills, water rates, council tax, and broadband services, are set to rise. The average increase is estimated to be £123 per year, adding more pressure on already stretched household budgets.

With the cost of living still high, these hikes could make daily expenses even more challenging for families. Here’s a breakdown of the key changes and how you can prepare.

Water Bills Soaring by 26%

One of the biggest contributors to the overall increase is the hike in water and wastewater bills, which will see an average increase of 26% across England and Wales. This means the typical household will see their annual bill rise from £480 to £603 an additional £10 per month.

The increase is attributed to investment in infrastructure and environmental improvements, but it comes as a blow to households already struggling with high living costs.

To find out how much your bill will increase, check with your water provider:

• Ofwat (Water Services Regulation Authority): www.ofwat.gov.uk
• Consumer Council for Water: www.ccwater.org.uk

If you’re finding it difficult to pay, many water companies offer social tariffs or assistance schemes for low-income households.

Council Tax Hikes Across the UK

From April 1, 2025, many councils are set to increase council tax rates to cover rising operational costs. Some councils have been granted special permission to increase rates by up to 10%, pushing the tax burden even higher.

For example, residents in Bradford face an annual increase of £195 for a Band D property. The increases will vary depending on your local council, but most homeowners and renters alike will feel the impact.

To check how much your council tax will increase, visit your local council’s website or the UK Government’s council tax page:

• Check your council tax band and rates: www.gov.uk/council-tax-bands

For those struggling to pay, councils offer discounts and exemptions for certain groups, including low-income families, students, and pensioners.

Energy Bills Climbing by 6.4%

Despite some relief in recent months, energy bills are set to rise again as Ofgem’s energy price cap will increase by 6.4% from April 1, 2025. This means the typical annual energy bill for an average household will go up by £111, reaching approximately £1,849 per year.

This increase comes as global energy costs fluctuate, with suppliers passing additional costs onto consumers. Households are advised to check for cheaper fixed-rate tariffs and improve energy efficiency to help offset the rising costs.

• Warm Home Discount Scheme: www.gov.uk/the-warm-home-discount-scheme

Broadband and TV Services Getting More Expensive

Major telecom providers, including Sky, are planning to increase broadband and TV service charges by up to £38 per year, effective from April 2025. This follows consecutive annual price hikes-6.7% in 2024 and 8.1% in 2023.

Customers are urged to check their contracts and consider negotiating with providers or switching to a better deal. Most broadband contracts allow users to leave penalty-free if prices increase mid-contract, so it’s worth exploring option

How to Manage Rising Household Costs

With multiple cost increases coming in April, many households will need to adjust their budgets to absorb the impact. Here are some key money-saving strategies:

1. Review Your Budget and Cut Unnecessary Expenses

• Identify areas where you can cut back on non-essential spending.
• Consider reducing subscriptions or switching to cheaper entertainment options.

2. Check for Discounts and Support Schemes

• Many households qualify for council tax reductions or water bill assistance.
• Low-income families can apply for energy discounts such as the Warm Home Discount.

3. Compare and Switch Providers

• Use price comparison websites to switch broadband, energy, or insurance providers.
• Contact your provider to negotiate a better deal especially for broadband or TV services.

4. Improve Energy Efficiency

• Install energy-saving appliances, switch to LED bulbs, and insulate your home.
• Take advantage of government schemes for home energy improvements:
  • Energy Company Obligation (ECO) Scheme: www.ofgem.gov.uk/environmental-programmes

5. Seek Financial Advice

• If you’re struggling with bills, reach out to Citizens Advice or Step Change Debt Charity for help.
• Visit Citizens Advice: www.citizensadvice.org.uk

Conclusion

With the cost of essential services rising from April 2025, households must prepare for an average increase of £123 per year. Water, council tax, energy, and broadband bills are all set to rise, making it essential for families to review their budgets and explore ways to save.

By taking advantage of discounts, switching providers, and improving energy efficiency, households can help reduce the financial strain of these upcoming increases.