February 2026 brings several important updates for personal finances, from tax penalties and duty increases to interest rate decisions and compensation schemes. As households recover from January expenses, staying informed about these shifts can help manage budgets effectively.
February 1: Alcohol Duty Increase
Alcohol duties rise by 3.66% starting February 1, aligned with Retail Price Index inflation. This adjustment adds 11p to a bottle of 11% ABV Prosecco, 14p to a 14.5% ABV red wine bottle, and 38p to a 37.5% ABV gin bottle, based on data from the Wine and Spirit Trade Association.
February 1: Self-Assessment Tax Fines Begin
Self-assessment taxpayers who missed the January 31 filing deadline face a £100 penalty from February 1. Additional daily fines of £10 apply after three months, up to £900. After six months, a charge of 5% of owed tax or £300—whichever is higher—takes effect, repeating after 12 months. Interest also accrues on unpaid taxes due by January 31.
February 5: Bank of England Interest Rate Decision
The Bank of England holds its first monetary policy meeting of 2026 on February 5, determining the future of interest rates. The current base rate stands at 3.75%, affecting borrowing costs and savings returns. The committee reviews rates every six weeks to guide economic stability.
February 10: Nationwide Savings Rate Reductions
Nationwide Building Society cuts rates on 36 savings products effective February 10, following the Bank of England’s base rate drop to 3.75%. Affected accounts include easy-access options, ISAs, and children’s savings, prompting savers to review alternatives for better yields.
February 14: Sky Mobile Price Adjustments
Sky Mobile raises prices from February 14, with most customers seeing a £1.50 monthly increase, totaling £18 annually. Variations may occur depending on individual plans, so users should check statements for exact impacts.
February 18: Latest Inflation Figures Released
The Office for National Statistics publishes updated inflation data on February 18. This tracks price changes over time, with the current rate at 3.4%. The Bank of England targets 2% inflation to maintain economic balance.
February 23: Smart Meter Compensation Available
From February 23, smart meter users experiencing delays or installation issues qualify for £40 compensation. Eligibility includes waits over six weeks for appointments, supplier faults causing failed installations, or lack of a resolution plan within five working days for reported problems.
These changes highlight the need to monitor financial announcements closely. Households can prepare by reviewing tax statuses, savings options, and utility contracts ahead of the month’s key dates.
