Increase in disposable income props up purses as consumers embrace sporting season
Families continue to enjoy spending their extra cash as Asda's latest Income Tracker reveals that Brits had an extra £18 a week to spend in August compared to 2014
- The average UK household had £191 a week of discretionary income in August 2015, up by an extra £18 a week (10.7%) on August 2014
- Fuel prices dropped by 12.9%, giving rugby fans on the road across the country a reason to celebrate
- The cost of stocking cupboards and fridges for a big night in falls, thanks to a 2.4% drop in food and drink prices
- Big screens and sound-bars which bring the games to fans see a 9.2% fall in price
Following opening night celebrations and a weekend of sporting excitement, Brits will be enjoying a taste of financial freedom during the Rugby World Cup, with more to spend on enjoying the games with friends and family. Asda’s latest income tracker shows that families now have £191 a week in disposable income, an increase of £18 a week (10.7%) on the same time last year.
And the good news doesn’t stop there. Those travelling the country to support their favourite teams and see the action up close needn’t give a second thought to tackling transport costs, with fuel prices falling 12.9% on August last year and the falling rate of inflation dropping back to 2.6%, making the journey to the game even more enjoyable.
Families choosing to have a big night in and watch the drama unfold from the comfort of their living rooms will also enjoy the benefits of the current economy. With food and drink prices falling by 2.4%, there’s even more reason for consumers to stock up on everyone’s favourite treats for a night in front of the TV cheering their team on!
What’s more, for those rugby fans eager to feel as if they are at the heart of the action, a 9.2% fall in the cost of audio visual equipment sees the average big night get even bigger, with the increase in spending power making it easier to convert the home cinema dream into a reality.
Chief Executive at Asda, Andy Clarke, said:
“The economy continues to go from strength to strength and stability in the wider economy remains the key driver behind an increase in disposable income across the UK. Since the economic collapse there has been a shift in behaviour around spending versus saving and even though we’ve seen family’s spending power rise, households are choosing to save more money for a rainy day.
“Events such as this year’s Rugby World Cup provide economies with a shot in the arm and supporters visiting from across the world will be pleased to see that a fall in the rate of inflation across travel, hotel, and restaurant are all contributing to an increase in disposable income.”
As more and more Brits celebrate the 10.7% rise in spending power, restaurants and bars continue to benefit from the boost in consumer spending confidence, no doubt looking to build on this as a nation of supporters gets set to celebrate and socialise by dining out.
Sam Alderson, Economist, Cebr, said: “In the wake of the global headwinds emanating from the slowdown in the Chinese economy, further evidence of strong growth in family spending power is welcome news for the UK economy.”
“Even though Christmas is fast approaching, with wages rising at rates well above inflation, households are in a great position to enjoy the autumn months and events such as the Rugby World Cup. ”