It was good news for families in November as Asda’s latest Income Tracker revealed that they had £11 more per week to spend on festive treats for family and friends than they did the same time last year. In the final throes of Christmas shopping, Brits had £179 per week in their pockets, after taxes had been deducted and bills paid for, to spend on festive favourites.
Families’ coffers were mainly boosted by the falling cost of travel in November. The price of filling up the tank fell 6% on last year as the cost of petrol dropped to just 122.9p per litre and diesel to 127.4p per litre. Families jetting off abroad for some winter sun also enjoyed cheaper airfares as the cost of plane tickets fell 12% compared to last month.
Shoppers stocking up on festive food and drink during November paid less at the checkout than they did this time last year too as the cost of food fell 1.7% and alcohol dropped 1%. This gave Brits even more reason to be merry this Christmas.
With inflation at its lowest level in 12 years at just 1.0%, and wages growing at 1.6%, it was a win-win situation for Brits who are now earning more, but paying less for the essential items they need. With more than 588,000 now in work, compared to this time last year, even more families will be able to take advantage of these low prices and make their budgets stretch further this Christmas.
Commenting on the findings, President and CEO of Asda, Andy Clarke, said
“The cost of living remains a concern across households in the UK, however we’re now officially out of recession and people are seeing more money in their pockets now than they have since 2009.
Our customers are always telling us how important it is that they can treat their loved ones and themselves at this time of year – so it is great to see the pressure on family finances ease a little- the lowest fuel prices since 2010 alongside the falling cost of food are all going to help with supporting family budgets throughout the Christmas period.”
Sam Alderson, Economist, Cebr, said: “The falling cost of essential items such as fuel and food has brightened the economic environment facing UK households in recent months and freed up income for families to enjoy over the holiday season.
With average weekly earnings beginning to strengthen and inflation likely to fall further in coming months, households look set to enjoy further boosts to spending power in the New Year.”
See full report