Falling living costs offer relief to households in debt

24 June 2009

New research from Asda has suggested that the average family was £7 better off during May, compared with the same month in 2008, according to The Telegraph.

In its monthly Income Tracker, Asda said that a typical household had £164 a week left as disposable income - nearly 5% more than at the same point last year.

The news may come as a surprise to many, following so many reports of rising costs of living. Asda said that lower mortgage repayments, transport and electricity costs all contributed to the rise in disposable incomes.

A debt expert for Think Money said: "This report indicates that the average family is better off, but there are still many who will be struggling. For example, the report does not closely reflect the situation of families with fixed-rate mortgages, or those who rent their home.

"Anyone who does find themselves struggling should take action as soon as possible, and discuss their options with a professional debt adviser."

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Tags: cost of living, falling cost of living, money, finance, economy, Asda, income tracker, income

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