Families have £8 a week more in their pocket than last year

23/09/2009

The average UK family is £8 a week better off than last year according to a new economics report.

Research carried out by the Centre of Economic and Business Research revealed that the average household had £160 a week of disposable income in August this year. That's 5.2 per cent higher than a year ago.

The report also found that food price inflation fell from July to August to the lowest it's been in three years – since February 2005.

According to the centre's findings, the financial boost is partly down to the comparison with a period of time that saw severe economic slowdown – before the Bank of England introduced its rates cuts.

Debt solutions form EuroDebt says the £160 disposable income figure needs to be put into perspective for people using credit, as the average household unsecured debt is over £21,000. That means minimum payments are over £400.

This would wipe out any disposable income and leave the household budget in deficit. Millions of UK households are now in this position, says EuroDebt.

• Share
• 
• 
• Store
• 
• Follow
•