Qualified advisers answering your
Financial Questions
call 0800 092 1245

UK Family Disposable Income Falls 15% In 12 Months

News that the average UK family now has only £14,520 of disposable income per annum perfectly illustrates the increase in the cost of living in the UK. This is a fall of some 15% from the 2007 figure of £17,102 and there are suggestions that the current figure is set to fall further as the cost of living moves higher.

The disposable income figure is vital to fuel growth in the economy and the lower this is per family in the UK, the less money available to append on the high street and elsewhere in the economy. Lower sales means that competition will increase, prices fall and costs will need to be cut. This will see the unemployment number creep higher and further reduce the average disposable income available - something of a vicious circle.

A further look at the most recent figures shows that the fall of 15% over the last 12 months is the only year on year fall recorded since 1997. So has the UK economic boom really come to an end? Are we now back to a boom and bust scenario? In a word, yes....

We are now over one year into the credit crunch and there is still no sign of a recovery and little hope of a change in the short term.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details