Households using savings to fund soaring cost of living

New research by the Officer for National Statistics (ONS) has found that one in four people whose cost of living has increased are using their savings to counter rising energy and fuel prices.

The research also shows that two in three people surveyed said their cost of living has increased in the last month.

Fuel prices, the cost of groceries, and electricity bills were the main causes of budget increases.

A quarter of households (25%) whose had been impacted by a cost of living increase reported dipping into their savings because of it, and the same proportion said they were now spending less on food shopping and essentials.

Quoted on Sky News, Small Business Minister Paul Scully said “We know that the energy prices are an issue and that people are worried about cost of living in general. That’s why we announced the biggest cash increase in the National Living Wage since its inception that’s why we changed the taper for Universal Credit.”