Households are spending more money a month on essential bills but still have more spare cash left over, an index has revealed.
Britons are now spending an average of £1,477.50 a month on bills and expenses, a £22.50 increase since the start of the year, MoneySuperMarket’s household money index found.
Yet the average person’s disposable income has risen too, from £715.92 to £802.33 a month.
There is disparity across the UK, however, with some parts of the country left with more disposable income than others.
People in Brighton spend the highest percentage of their income on bills at 75.21%, costing them an average of £1,459 a month and leaving them with around £516.
But the average Londoner spends more on bills in cash terms at around £1,670 a month (63.89% of their income). They also have more disposable income, at £943.89.
MoneySuperMarket’s index tracks what people are spending across 31 categories – from insurance, mortgages and utilities to subscriptions and groceries – on a quarterly basis.
It found households had cut back spending on childcare costs, credit card repayments, private pension contributions and groceries from February to April.
On average, they spend more in some areas such as car leasing, health insurance, life insurance, pet insurance, gym memberships and TV subscriptions.
Leave a Reply