Getty Images
Some policies announced by Chancellor Rachel Reeves in the Budget will have a specific impact on young people.
Here are some of the main ones.
1. You could pay more for your bus ticket
The single fare cap for buses in England will be increased to £3 in 2025.
If you rely on the bus to get to school, a university campus or work, you'll end up paying £1 more per journey for a return trip.
This is an increase on the current £2 limit which was introduced under the previous Conservative government to help with the cost of living.
The existing cap was due to expire at the end of December, so by the start of next year you will have to pay extra per journey when taking the bus in some parts of England.
The new cap, covering most bus journeys in England, will remain in place until the end of 2025.
Single bus fares in London with Transport for London will remain at £1.75 and Greater Manchester at £2, due to a different funding system in these cities. Scotland, Wales and Northern Ireland have separate rules.
2. Train and railcard fares are also expected to increase
The Budget revealed that regulated rail fares in England are set to rise by 4.6% next year, while the price of most rail cards will rise by £5.
The changes will come into effect on March 2, 2025.
As the 16-25 year old rail pass is one of the most popular in the UK, this change will have a big impact on young people.
The government said the 4.6% increase in regulated rail fares in 2025 was “the smallest absolute increase in three years”.
He added that the £5 increase in the cost of rail cards would be subject to an industry review. Most rail cards generally cost £30 per year.
3. It might be harder to find your first job, but lower paid people get more.
Businesses are being hit hardest by the Budget's tax rises and almost everyone – including the Chancellor – agrees it could affect their staff's pay.
In particular, all but the smallest employers will have to pay more National Insurance for each worker they employ.
That means they may not hire as many people, offer them many hours, or give them as big pay raises.
That said, the minimum wage will increase in April.
They will increase to £12.21 an hour for those aged 21 and over, £10 an hour for those aged 18, 19 or 20 and £7.55 an hour for those aged 16 and 17 years old or in apprenticeship.
4. Buying your first home may cost you more
Stamp duty is something the chancellor failed to mention, but which could be important for anyone buying a house in some parts of the country.
This is a tax in England and Northern Ireland when you buy a property.
Since 2022, for first-time buyers it was only charged when purchasing a property costing more than £425,000. You only pay stamp duty on the part over £425,000.
However, from April it will be paid again for properties costing more than £300,000. This will mainly affect buyers in the south of England.
According to an analysis by property portal Zoopla, around 80% of first-time buyers currently pay no stamp duty, but this figure would now fall to around 60%.
Landlords must pay higher stamp duty. They could choose to pass on some of this additional cost to tenants by increasing rents.
If they choose not to buy, that could mean more homes for buyers to purchase, but it could also reduce the number of rental properties available. Rightmove says there are on average around 15 potential tenants searching for each rental property at the moment.
5. Young farmers will face inheritance taxes
This is one of the most complex areas of the budget, but could be important for family farms.
From April 2026, agricultural assets worth more than £1 million will no longer be fully exempt from inheritance tax.
For years, tax breaks have allowed small family farms – including land used for growing crops or raising animals, as well as farm buildings, cottages and homes – to be passed down from generation to generation.
However, some see this as a flaw in the inheritance tax system.
Tax experts say some farmers take out life insurance to protect themselves from the impact of inheritance taxes, or gift the farm to their children more than seven years before their death.
6. Vaping will soon cost more
Vaping and smoking are expected to become more expensive.
Reeves announced a new tax on vaping fluids, which costs £2.20 per 10ml of e-cigarette fluid.
However, this will not come into effect until October 2026.
This means the tax will come into effect after the government bans disposable vapes by next summer.
The vaping tax will be accompanied by an equivalent increase of £2.20 per 100 cigarettes in tobacco taxes.
The government has said it wants to “maintain the financial incentive to switch from tobacco to vaping”.
There will also be immediate cost increases of 2% for tobacco and 10% for hand-rolled tobacco.
