Energy hikes, stamp duty... but what about the unexpected price rises we’re all missing?

From utility bills to Netflix subscriptions, households face a fresh wave of stealthy price hikes, writes James Moore – and the worst may be yet to come

If you thought Britain’s inflation crisis was over – as did much of the City (we’ll get to that) – think again.

Household budgets are about to be swamped by a tsunami of price rises, some stealthy, others brutally overt.

Where to start? When The Independent cast around for examples, the sheer number of recent or pending price rises almost made us dizzy. It seems rip-off Britain is back, with bells on.

The first blow lands this month, in April, with regulator Ofgem’s energy price cap jumping 6.4 per cent. There are a few deals out there that could help people to avoid, or at least reduce, the hit. But the market is horribly complicated. My own family spent an afternoon buried in price-comparison sites, with beady eyes focused on the small print. By the time we’d finished, it felt like we’d exhausted the household stock of painkillers.

The good news is that the gurus at Cornwall Insight – who have proven remarkably accurate when it comes to divining the cap’s future – expect the price to fall back later this year. But, remember, energy markets are volatile. So there are no guarantees.

Next, your TV licence rises £5 to £174.50 a year. It might be “only” £5, but expect debate over the BBC’s funding in the age of streaming to get noisier.

That rise comes on top of a series of price hikes imposed by streaming services, which have found it harder to grow while grappling with rising costs. February saw Netflix boost the price of its most popular ad-free plan by £2, or 18 per cent. Other services (Disney, Amazon, Apple et al) have also acted over the past six months. And Amazon has upped the price of its music service. Spotify is widely expected to do the same, having trailed “changes” to the popular service, including more tiers. Whatever that means, it can’t be good. Your broadband and mobile bills will also rise, depending on your provider.

Meanwhile, across England, council tax bills are going up by an average of 5 per cent. In Wales, most are rising by more. After a freeze in 2024/25 in Scotland, they’ll be going up by an average of 8 per cent there. Did I mention that the right-to-buy discount is falling, too, if you’re thinking of buying your council house?

Broadband and mobiles phone bills are climbing. These things aren’t compulsory, but they sure feel like it. Trying to navigate modern life without them is getting harder and harder. With the government, HM Revenue & Customs and services pushing people online, good luck with getting through to helplines if you’re a refusenik.

The back-to-office push, amid the backlash against home/hybrid working, is going to land you with higher transport costs. Regulated rail fares in England and Wales have risen by an inflation-busting 4.6 per cent. London Tube fares are going up, too. We’re also going to be faced with some brand new charges, as councils seek to raise money. Transport for London, for example, is adding tolls to the Blackwall and Silvertown tunnels. Thanks a lot, Sadiq Khan (the London mayor chairs the body).

Other councils are seeking to raise cash by increasing parking charges, despite the damaging impact this can have on town centres, many of which are on their last legs.

I could go on like this for days. From gym memberships and takeaway food delivery costs to cabs or Ubers, prices are accelerating faster than a Premier League footballer’s fancy new Porsche – funded, ironically, by your pricey season tickets. You can count on them going up, too.

Even stamps aren’t safe: Martin Lewis is urging us all to stock up now on stamps ahead of the looming Royal Mail hikes.

When it comes to price inflation, it doesn’t just rain – it pours. True, the Office for National Statistics tells us that wages are rising at a faster rate than the consumer prices index. But its labour force data has come in for harsh criticism over its reliability. Other surveys have wages rising at rather more modest rates.

Needless to say, there will be consequences from this inflationary surge that may eat up most, if not all, of any pay bumps awarded to Britain’s workers. They may find themselves in a higher tax band because the thresholds have been frozen. The latter is the ultimate stealth tax.

This could do considerable damage to Britain’s fragile consumer confidence. Many will be inclined to conserve cash rather than spending it, and who could blame them? Given the amount of consumer debt the nation is drowning in, that isn’t at all unwelcome. But it won’t help the spluttering economy out of its hole.

The second big negative is the impact this could have on interest rates (and so mortgage rates). The City is awash with speculation of as many as three further cuts this year, with the first coming at the next meeting. The money markets put the chances at as high as 66 per cent.

However, people on six-figure salaries tend to be far less sensitive to their bills going up than the average worker. One group that isn’t true of is the members of the Bank of England’s rate-setting Monetary Policy Committee (MPC). They are highly sensitive to inflation. Their 2 per cent target is central to their decision-making. While the UK rate of inflation fell to a better-than-expected 2.8 per cent in February, the expectations are that it will head back up again soon, thanks to the above. Don’t bet the farm on lower interest rates.

All this and Trump’s tariffs. If the UK doesn’t fix up a deal, and feels the need to respond, guess who will get hit with the increased cost of American goods?

For now, the only winners are money-saving gurus like Martin Lewis – they’re not going to be short of business.