Cost Of Living ‘Increases For Brits’
Older people are coming under intense monetary strain, a new set of figures has indicated.
In the latest findings by the Alliance Trust Research Centre, it was revealed that consumers between the ages of 50 and 64, in addition to 65 to 74-year-olds, are struggling with high rates of inflation. Such Britons, it was claimed, both faced rates of 2.9 per cent over the course of January - some 0.7 percentage points above the official headline figure of 2.2 per cent.
However, it is not just people from these groups who may be experiencing a surge in money management problems in the weeks to come as consumers of all age demographics have seen an inflation rate above official rates last month.
Although the under-30s - the youngest age group studied- were shown to have the lowest increase in living costs at a rate of 2.5 per cent, this figure was revealed to be some 14 percentage points above official numbers. In particular, increased fuel, rent and education costs were shown to be weighing down on such consumers, although they are benefiting from falling prices in audio-visual goods and clothes, which have gone down by 16 and five per cent respectively over the last 12 months.
Findings from the company also showed that fuel prices are increasing by more than 19 per cent - a record rate of growth. Meanwhile, food price inflation is currently at 6.6 per cent - the highest level since June 2001. Such an increase was particularly driven by dairy products, the cost of which has gone up by more than 15 per cent during the past year.
Due to rises in various living costs, it is likely that many Britons will see their capacity to manage money squeezed over the coming weeks. For such people, applying for a best-rate loan to supplement spending might prove to be of assistance.
Shona Dobbie, head of the Alliance Trust Research Centre, said: “The official headline rate of inflation picked up over the month and inflationary pressures remain strong for many basic goods which we all have to buy on a regular basis. This makes inflation feel much higher than the official level and leaves less money left over to spend on the more discretionary items, such as clothing and audio-visual goods, where prices continue to fall. Recent increases in both gas and electricity prices are likely to push headline inflation higher in the coming months. This is a problem for all age groups, but as the over-75s spend the highest proportion of their household budget on these goods, they could be hit the hardest.”
Britons worried about their ability to handle their spending as the year progresses, however, may wish to consider getting a secured loan. In taking out a loan it is possible that borrowers can pay back a number of debts quickly, buy a car or fund home improvements. This may be of particular assistance to those who find that they are struggling with money management in the wake of the Christmas period. Earlier this year, a study carried out by Mind indicated that more than half of people surveyed spent more money over the festive period than they could afford.
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