How the King’s Speech 2024 will affect your finances

SIR Keir Starmer unveiled his vision for Britain today as MPs and peers packed into the grand House of Lords to hear the King’s Speech.

At the state opening of Parliament, King Charles outlined the main laws the Prime Minister hopes to deliver in the next 12 months.

From pensions and employment rights and housing, the proposals outlined today can sound a bit confusing.

It can be difficult to know what these policies would mean for your money in reality.

Here, we outline each of Labour’s pledges and explain how they would impact your finances over the next year.

HOUSING

One of the big cost of living burdens over the past few years has been the increased cost of housing.

Mortgage rates have risen significantly meaning homeowners have to pay far more each month, while rental costs have also risen.

The new government is set to introduce a new Planning and Infrastructure Bill in order to “accelerate the delivery of high quality infrastructure and housing”.

The Bill will seek to improve the planning system at a local level by making planning systems more efficient.

At the moment, only 9% of local planning authorities (LPAs) are determining applications within eight weeks.

It is hoped that this reform will accelerate house building.

In a blow to first-time buyers, the mortgage guarantee scheme was not mentioned in the King’s Speech.

The scheme would see the government act as a guarantor for people unable to save for large house deposits.

It’s important to note, however, that just because it hasn’t been mentioned in the scheme, it doesn’t mean it won’t happen at a later date.

The government has also pledged to better protect leaseholders, who don’t own the land they live on and can be stung with sky-high service charges and ground rent.

The government has said it will bring an end to the “feudal” leasehold system and “take further steps” to ban the construction of new leasehold flats.

It also said the party would tackle unregulated and “unaffordable” ground rent charges as well as “unfair” maintenance costs.

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Among the other new laws unveiled today in Labour’s first King’s Speech in 15 years were:

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RENTERS

The government is set to introduce a Renters’ Rights Bill.

This legislation will be introduced to give greater rights and protections to people renting their homes.

The government is set to end Section 21 no-fault evictions.

Landlords can issue a Section 21 notice – known as a no-fault eviction – without any reason, leaving tenants just eight weeks to find a new home

Banning these notices will “give renters much greater security and stability”, the Government said.

The Bill will also give tenants greater rights and protections, such as the ability to challenge rent increases and the right to request a pet.

Rental homes will also need to reach a decent standard to ensure homes are safe, secure and hazard free.

It will also become illegal for landlords to discriminate against tenants who receive benefits or with children when letting our their property.

EMPLOYMENT RIGHTS

The Government has said it plans to bring in an Employment Rights Bill in its first 100 days in office.

It will include a ban on zero-hour contracts, end “fire and rehire”, better access to flexible working and strengthening statutory sick pay.

Plus, a new genuine living wage that accounts for the cost of living and removes “discriminatory” age bands will also be introduced.

This would mean that all adults are entitled to the same pay and a pay rise for workers across the UK.

There are two different minimum rates all workers are supposed to get across the UK – the National Minimum Wage and the National Living Wage.

The National Minimum Wage is the amount workers under 23 – but of school-leaving age – are entitled to. While everyone aged 23 and over gets the National Living Wage.

Under the current system, exactly how much you get depends on how old you are.

Labour’s plans would mean that everyone gets the same, no matter their age.

The government has also said it will remove restrictions on trade union activity,

This could pave the way for more strike action in the future.

The government is also set to introduce the Skills England Bill, which will ensure the country has a highly trained workforce by working closely with businesses and unions.

CHILDCARE

In the proposed Children’s Wellbeing Bill, the Government has said that it will become compulsory to have free breakfast clubs in every primary school.

It said this will ensure that every child, no matter their personal circumstances, is ready to learn and “achieve their full potential”.

The legislation will also limit the number of branded items of uniform and PE kits children need, in the hope that this will bring down costs for parents.

PENSIONS

The government will introduce a new Pension Schemes Bill which will aim to improve outcomes for savers in retirement.

The Bill will include a raft of new measures to help over 15 million pension savers to get better outcomes in retirement, according to a document published today.

The aim is to ensure the average earner has over £11,000 more in their pension pot by the time they retire.

It comes as data suggests millions of savers are not putting enough money aside for later life.

The government said it will aim to prevent people from losing track of their pension pots by consolidating “small pots” automatically.

Plus, one of the more radical plans in the new Bill is the proposal that pension schemes must offer retirement products to savers.

The intention is…