Families in Britain feel the squeeze as food bills rise again
FAMILIES are yet to feel any benefit from Britain’s economic recovery as disposable income falls and bills rise, according to new figures.
Higher food prices and no pay rises forced down household spending again last month.
A typical family had £159 of discretionary income available last month – £2 less than August 2012 and down £6 from its February 2010 peak.
Slow wage growth and a one per cent cap on many welfare benefits were key factors behind the decline. A 4.1 per cent rise in food prices – the highest for three months – further squeezed budgets.
Food bills for the average UK household have risen £655 since 2008 to £3,085 a year with a further 15.2 per cent hike by 2018 predicted by supermarket giant Asda in its latest Income Tracker.
Running a home is now a quarter more expensive than five years ago and it is predicted to top £4,200 by 2018. An 8.1 per cent rise in gas and 8.3 per cent higher electricity bills in the last year have taken their toll.
Rob Harbron, senior economist at the Centre For Business Research, said: “Although recovery in the overall economy continues to gather pace, the Income Tracker results indicate that this is not yet feeding through into household finances.
uk/431695/Families-in-Britain- feel-the-squeeze-as-food- bills-rise-again
TAP – shop in the local market. You save a fortune on supermarket prices. They are a cartel which fixes price and quality. They pay no UK tax. You see a lot more expensive cars in the likes of Aldi now than you did. People are realising you can live a lot cheaper if you look around. And usually much better quality too. Only supermarket shoppers are getting poorer, and suffering worse health. Buy fresher locally and cheaper.
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