Buy Now Pay Later Is Regulated, But Not Retrospectively
The Financial Conduct Authority began regulating Deferred Payment Credit (DPC) - the interest-free, pay-in-instalments option at checkout - on 15 July 2026. Lenders must now check you can afford to repay, set out repayments and late fees up front, and support you if you fall behind. Complaints can go to the Financial Ombudsman Service.
Three limits matter. The protections only cover agreements taken out on or after 15 July 2026; anything signed before that stays unregulated. Section 75 of the Consumer Credit Act 1974, which makes the lender jointly liable with the retailer, only applies where a single item's cash price is more than £100 and no more than £30,000 - a per-item test under s75(3)(b), not a basket total. It also only bites where the lender and retailer are different businesses, so a shop's own plan is outside it.
Source: FCA - Buy Now Pay Later, Consumer Credit Act 1974 s75 | Related: Compound Interest Calculator
The Draft Finance Bill Landed on Monday
HMRC published draft legislation for Finance Bill 2026-27 on 13 July 2026, the annual airing tax clauses get before Parliament; final contents remain the Chancellor's call. The package spans cryptoassets and stablecoins, HMRC's information powers, a new Securities Transfer Tax replacing stamp taxes on shares, and an ISA compliance regime.
One change reaches anyone holding share options: Enterprise Management Incentives (EMI) options granted on or after 6 April 2027 will no longer need a separate grant notification, moving to the existing end-of-year return. The consultation closes on 7 September 2026.
Source: GOV.UK - Finance Bill 2026-27 | Related: Employee Share Scheme Tax guide, Bed and ISA guide
Company Car and Medical Cover Tax Moves Into Your Payslip
From April 2027, payroll reporting of benefits in kind becomes mandatory for company cars, car fuel, vans and van fuel, and employer-provided medical cover. The tax moves from end-of-year P11D reporting to real-time payroll, so it leaves your pay as you go rather than via an altered tax code the following year. Most remaining benefits follow in April 2028.
What you owe does not change - the timing does. HMRC is offering a temporary penalty easement for non-deliberate first-year errors. Scottish taxpayers pay Scottish rates, running to a 48% top rate.
Source: GOV.UK - Changes to reporting of benefits in kind | Related: Employed and Self-Employed guide
Defined Benefit Schemes Could Pay Surplus Straight to Members
A new authorised member surplus payment would let trustees of registered defined benefit schemes make discretionary payments to eligible members out of scheme surplus, for payments made on or after 6 April 2027. Surplus has generally returned to the employer or stayed put, so this is a change of direction.
Read the tax treatment carefully. It is taxed as pension income, not as a tax-free lump sum, so it stacks on your other income at your marginal rate - Scottish rates if you are a Scottish taxpayer. It is discretionary, so no member should plan around one.
Source: GOV.UK - DB surplus payments to members | Related: Pension Lump Sum Tax Calculator, Pension Emergency Tax guide
Key Dates
22 July 2026 (Wednesday) - ONS publishes June inflation (CPI); the May figure was 2.8%.
30 July 2026 (Thursday) - Bank of England interest-rate decision; the base rate was held at 3.75% in June.
31 July 2026 (Friday) - second Payment on Account due for 2025/26 Self Assessment.
7 September 2026 (Monday) - draft Finance Bill consultation closes.