Household Spending Hits Highest Ever Level

Written By Unknown on Selasa, 04 Desember 2012 | 18.56

The average UK household spent £483.60 a week in 2011 - the highest amount ever recorded by the Office for National Statistics (ONS).

Last year's level was £10.00 higher than in 2010, due in part to increases in transport and housing costs.

However, although the average families' weekly spend hit a record high in cash terms last year, it actually fell when adjusted for inflation.

British households spent £498.20 in 2010 when adjusted for inflation, which means spending fell in real terms by 2.9% the following year.

In cash terms, the highest spend in 2011 was on transport, which rose by 80p to £65.70 per week, driven by hikes in petrol and diesel prices.

A rise in spending on cinema tickets, leisure classes and sporting events meant that recreation took up the next highest chunk of families' spending, at almost £64 a week.

Apple MacBook laptop Spending on audio-visual equipment - including computers - fell last year

Housing, fuel and power represented the third largest amount of households' spending at £63.30 a week in 2011 - a weekly increase of £2.90.

Rents were up by 70p to reach £40.60 and average spending on electricity, gas and other fuels was £22.10 per week - another increase of 70p.

But some types of household expenditure decreased in 2011.

Spending on household goods and services fell by £4.10 to £27.30 a week, mainly due to a significant drop in the number of people buying furniture and clothing.

There was a small fall in expenditure on audio-visual equipment - including computers - which edged down by 90p to £6.30 a week.

The ONS reported "notable differences" in the way people of different incomes chose to spend their money.

The 10% of households with the lowest incomes spent a significantly larger proportion of their weekly total on housing, fuel and power, and food and non-alcoholic drinks than the 10% with the highest incomes. 

Households in the highest income group spent a greater proportion on transport and recreation and culture. 


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