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Rise In Spending Power Fails To Curb Public Pessimism

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http://www.telegraph.co.uk/finance/economics/8471334/Rise-in-spending-power-fails-to-curb-public-pessimism.html

Spending power among British consumers has risen over the past year, despite soaring petrol costs, but has done nothing to improve perceptions of individual financial wellbeing, according to the most comprehensive survey of spending habits yet conducted.

Average spending power has increased by 3.3 percentage points in the past year as falling debt repayment costs have freed up more income, but in spite of this, more than half of Britons now think their personal finances are in a poor state, compared with 44pc at the end of last year.

The figures will worry retailers and other UK businesses hoping for an upturn in consumer confidence and come in the first Lloyds TSB spending power report, released exclusively to The Daily Telegraph. Using data taken from more than 5m current accounts, the survey offers the most detailed picture available of the state of the British public's finances.

Mirroring the Government's reasoning for its deficit reduction plans, the study found that debt repayments by British households were the main driver of the increase in spending power as private deleveraging released more income for discretionary expenditure.

Over the 12 months to the end of March, the average required debt repayments of British consumers fell 4.3pc, helping offset the close to 5pc rise in food costs and 13pc increase in fuel prices.

So are those without debts better off!!!

Unbelievable spin here.

This is a huge generalisation that everyone has debts and that even those with debts can pay it down and then release the income they where using to buy stuff in the wider economy.

Spendy spendy.

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http://www.telegraph...-pessimism.html

So are those without debts better off!!!

Unbelievable spin here.

This is a huge generalisation that everyone has debts and that even those with debts can pay it down and then release the income they where using to buy stuff in the wider economy.

Spendy spendy.

which debts have fallen in cost in the last 12 months?

credit cards are up, personal loans are up, new mortgages are up.

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which debts have fallen in cost in the last 12 months?

credit cards are up, personal loans are up, new mortgages are up.

Existing debt is down though if your pay has stayed ahead of inflation.

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which debts have fallen in cost in the last 12 months?

credit cards are up, personal loans are up, new mortgages are up.

I presume they are referring to the reduced cost of debt due to pay-down of existing debt. What they are not considering is that people can no longer supplement thier income with MEWing.

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Existing debt is down though if your pay has stayed ahead of inflation.

Inflation levels are what, 10% + at minimum. Who has had pay increases of 10%+?

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Inflation levels are what, 10% + at minimum. Who has had pay increases of 10%+?

....depends how much you spend, and what you spend it on...... ;)

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Inflation levels are what, 10% + at minimum. Who has had pay increases of 10%+?

certainly many public sector on pay scales.

A constable starts year one 2 years ago on around 21K IIRC.

today, two years on he is on the the thrid level of the pay scale as well as all the scales rising 2% or so. net pay increase....around 30% to 29K

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Inflation levels are what, 10% + at minimum. Who has had pay increases of 10%+?

I got 5.7% back in January. I always knew it was time to move on irrespective of what I got. Having moved job I'm now earning +29%

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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