Average household annual income in UK
The office of National statistics regularly release a number of very specific figures regarding UK income and one which proves very interesting is that of the average household annual income in 2006/07. The information shows that the top fifth of the households (by income) in the UK have an income which is 15 times that of the bottom fifth. In real terms this equates to an average of £14,000 a year for the bottom fifth of UK households against nearly £73,000 for the top fifth with a UK average of just over £30,000.
While this information is now one year out of date, as we await the new figures, it perfectly illustrates the massive difference in wealth across the UK. While the credit crunch will have impacted upon the average income of the top fifth households in the UK it will also have impacted upon those at the lower end of the scale, who depend on benefits and sporadic income streams to survive.
The problem for the government is the fact that the cost of living has moved higher at a rate which is faster than the growth in income streams. While those at the "top of the tree" have a cushion against what they earn and what they need, this is not something readily available to those at the lower end of the scale.
UK government to penalise businesses with energy cost rise
Chris Huhne, the energy secretary, has today confirmed that UK businesses will bear the brunt of ongoing policies to cut emissions in the UK. It is forecast that business energy bills will rise by up to 26% over the next decade while at the same time consumers will see a rise of about 1% in their own energy bills. While there is no doubt that the UK needs to revamp and update the energy system the...Read More
Interest rates will not affect mortgage market, says Firstrung
Interest rates will not affect the mortgage market because it is "completely detached" from the Bank of England base rate, mortgage broker Firstrung has said. The Bank of England base rate is currently at 5.75 per cent, but recent research from mortgage website mform.co.uk found that the most common standard variable rate among lenders is 7.74 per cent - a difference of almost two per cent.Firstru...Read More
UK mortgage lending fell by £1 billion in April
The revelation from the Council of Mortgage Lenders that funds set aside for approved UK mortgages in April fell by £1 billion to £10.4 billion compared to March has shocked many. However, while this figure in itself is very disappointing the fact that overall UK mortgage lending fell by 60% in the year to April 2009 is even more astounding. The month by month reduction finally kills any hopes o...Read More
Will the Bank of England revamp its quantitative easing programme?
Tomorrow's meeting of the monetary policy committee could be one of the more eventful of recent times with opinion split as to whether the Bank of England will inject more money into the quantitative easing programme or let it run its course when it hits £200 billion limit. The "clever money" would appear to be on a suspension or closure of the quantitative easing programme although there are con...Read More
Will the UK government's plan to buy empty homes work?
In a scheme which is set to cost the taxpayer around £400 million it has been announced that the UK government will offer interest-free loans to first-time buyers to cover deposits of up to 30% on new properties. This is the government's attempt to reduce the number of empty new homes across the UK and start to oil the wheels of the property market again.
It looks as though the sch...