A report on the Living Costs and Food Survey carried out by the Office for National Statistics has revealed that the people of Britain spend more and more each year. The total average weekly household expenditure was £531.30 in 2014, £14 more than the £517.30 weekly spend in 2013 and £16 more than in 2012. Although the last few years have seen a rise in household spending, Brits are paying about £22.50 less per week, than in 2006.
The four main categories households spend on are food, housing and fuel, transport, and recreation. More than 50 percent of family expenditure goes across these four categories.
HOW DO BRITS SPEND THEIR MONEY?
Typically, households in London and the South East spend the most each year, while people in the North East and Wales pay the least. Surprisingly, London families pay about £6 a week less than those in the South East and residents of the North East spend significantly more on transport than housing, with households across the nation using 14 percent of their expenditure on transport.
Residents in the United Kingdom spent the majority of their money on transportation in 2014, at £74.80 per week. The second highest category spend was housing, at £72.70, which includes fuel and power, but excludes mortgages. Families spend an average £63.90 on recreational purchases, including tickets, subscriptions, and pets; and £58.80 on food, with meat and fish averaging a quarter of the weekly food expense.
Another popular spending category for Brits is family holidays. The average British family of four spends a solid two months’ salary (based on an average £26,500 salary) on going away for the summer, at an average of £860 per person. April in usually the busiest month for bookings and December is the quietest, although Brits do enjoy the Winter sun. The biggest holiday spenders are those in the West Midlands, earmarking an average £1,084 per person. Families in Wales spend the second highest amount of their summer trips at an average £1,077 per person. London is third with £971 per person and individuals in the North East pay the least, at an average £675 per person.
PRIME CENTRAL LONDON ANNUAL EXPENDITURE
One of the most exclusive areas in prime central London is Mayfair. Living in Mayfair puts residents at the core of world-class dining, extraordinary culture, and select couture. Shoppers in the area spend £644,000 on clothing, shoes and accessories and £254,500 on food, leisure and entertainment, including flowers, wine and food. This level of spending is unsurprising with the range of choice locals have available to them, with over 66 percent of the top 100 retail brands available. Bond Street is an exceptional shopping destination, known across the globe, and attracts high demand from luxury brands looking for recognition on the high street. Demand has recently spread over into neighboring Albermarle Street and Dover Street and, as footfall has risen, so too have rental values.
According to data within a new report from Wetherell; administered by the Westminster City Council, Dataloft and EGI, the average homeowner residing in a property valued over £15 million, spends an estimated amount of £4.5 million in London a year. Residents of homes priced between £5 million and £15 million regularly spend around £2.75 million annually on local expenses. Of the £4.5 million, families spend approximately £2,700,000 on interior design and artwork each year, £644,000 on clothes, and £325,000 on employment. High-value homes hiring staff usually offer live-in contracts and high salaries. These employees have a significant disposable income and consuming patterns similar to those of their employers.
The tourist market of £22 billion a year is supported by the West End, where around 200 million visitors attend annually. These guests spend around £11 billion at bars, hotels, restaurants, and shops in the area alone, without including the world famous theatre district income. Despite the flourishing tourist revenue, the ‘Luxury Quarter’ is hugely supported by residents. Locals provide much more for the local economy and a recent survey conveyed on behalf of Bond Street retailers exhibits that the average spending of the local neighborhood is twice that of a non-resident Bond Street customer.