Living costs families £20 a week more as rent and transport bills increase

FAMILIES’ weekly outgoings have increased by nearly £20 in a year, largely due to increased transport costs and rents, according to an official study.

Households were typically paying out £473.60 a week in 2010, according to the latest Family Spending report from the Office for National Statistics (ONS).

The figures, released on the same day the Chancellor made his autumn statement, showed the biggest chunk of spending was taken up by transport costs, which accounted for £64.90 per week.

Families have seen their living costs soar while struggling to find returns on any cash they might have left over. The second largest outgoings went on housing, fuel and power, which increased to £60.40 in 2010 from £57.30 in 2009.

The ONS said the rise was mainly driven by gross rent increases, which typically went up by £4.50. The rental market has seen a boom as would-be home owners needing large deposits have struggled to get onto the property ladder.

ONS family spending editor Giles Horsfield said that while families had had to spend more cash on “essentials” like fuel and rent, they had not dramatically reined in their outlay on more discretionary purchases like holidays.

He said: “Interestingly, spending on recreation and culture has stayed fairly steady.” Families’ spending on recreation and culture, including holidays, TV and newspapers, stood at just over £58 a week in 2010, a similar figure to 2009, when the overall spending total was £455 a week, the ONS said.