Families now have £16 more in their pockets as spending power takes another leap.
With £16 more in their pockets each week to spend on the things they want, rather than the items that they need, families are better off today than they have been for over five years according to Asda’s latest monthly Income Tracker. Brits had £185 per week to spend on small luxuries like cinema tickets and eating out to help beat the January blues – almost 10% more than they had this time last year.
The cost of filling up the tank and stocking up on groceries fell year-on-year by 16.2% and 2.5% respectively in January and led to the lowest levels of consumer price inflation seen since the 1960s. Essential item inflation went into negative territory, or “deflation”, for the first time in six years, falling -0.1%, meaning that today £1 now buys you more than it did this time last year.
Household energy prices also fell in January, dropping by 2% compared to a year ago, as energy firms followed in the footsteps of petrol stations and started passing on the benefits of falling oil prices to customers – a trend that is set to continue.Find out more and read the full report.