Laura Whitcombe

What does the new tax year mean for your pocket?

Today marks the start of the new 2017/18 tax year, and this month a long list of changes come into effect that could impact on your household finances.

There’s good news for the low paid thanks to an increase in the National Living Wage, and middle earners also stand to benefit from a rise in the threshold at which they have to start paying higher-rate income tax. Pensioners will see an increase in how much the government gives them to live off and many individuals coming into an inheritance will see the taxman’s slice of their gains narrow.

But the changes aren’t good news for everyone – especially most people buying new cars, who can expect to pay more Vehicle Excise Duty. Here’s what’s new in the world of personal finance this month.

Increased personal allowance

The amount of money you can earn each year before having to pay income tax is now £11,500, up from £11,000.

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