Price hikes to be aware of in 2011

Try our new VAT calculator to find out how much you will pay after the VAT rise on 4 January.



It's hard to predict how much petrol prices will go up as the raw commodity price varies. But we do know that petrol prices will increase by 0.76p per litre (around 1p with VAT included) in January, owing to the levy increase announced in the previous budget.

The AA estimates that the VAT hike means a further 3p can be added to this, so petrol will cost roughly 4p more per litre, which means that filling up the average 50-litre car every two weeks will cost an extra £250 a year.

Energy prices

The Bank of England has forecast energy price rises of 5% in early 2011. Rising wholesale prices will force suppliers to push up their retail charges, meaning our electricity and heating bills will once again be on the up.

A number of the big energy companies have already put up their prices, npower being the latest. Its increases of 5% will see its average dual fuel bill customer pay £65 more a year.

Train fares

Train tickets will be 6.2% more expensive in the new year, according to the Association of Train Operating Companies.

The Office of Rail Regulation forecasts that the average price of a single journey will increase from £4.89 to £5.19.


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Your Comments

Locally petrol has been edging up for over a week. I rather thought they were preparing for the VAT increase but no, it rose a further 3p today making a total rise of 9p.

My train fares have gone up too. Off peak it has risen 6% so fewer rail journeys this year.

I am already planning to cut expenditure as the Government are cutting my pension in real terms by 2% this year (.5% average over RPI and 1.5% for the change to CPI). And that is before any tax increases on car or council taxes, neither of which is included in the CPI.

Sorry, taxman, I plan to spend less this year, not more.

And one former government minister says that the Average British Consumer has never had it so good !!! Get real !

Dave, live in the real world for 6 months and wake up.
What ever the excuse Green or Pollution what ever reason to increase petrol tax, if you have no choice but buy petrol for work as no other transport is available and no offer of a pay rise, you have to consider if work is more viable than signing on the dole with all the perks we are told are available. Two children, interest only mortgage, rates. Governments can create problems that can add more financial burdens than it removes.