The price is tight

Disposable incomes have been squeezed in recent decades – especially for poorer households. And in recent years the cost of living crisis has hit the cost of essentials particularly hard – affecting how much families have left over for the more fun things in life. The cost of essentials therefore matters for families, the wider economy, and policy makers who want to ease the pressure on household budgets.

How have lower incomes families’ consumption patterns changed over time? Which essentials have got cheaper, or more expensive? How can existing support schemes be better targeted? And where is more Government intervention needed?