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Bills take up nearly a third of consumer wages
07/05/2008 11:31:00
Rising utility bills, prices surrounding household goods and fuel prices have resulted in bills taking up the largest part of a monthly wage for 17 years, according to new research.
Findings from Capital Economics show that the average household spend on bills has climbed to 31 per cent from 25 per cent during the last six years.
Vicky Redwood, analyst with the financial forecasters, said that the situation was liable to become worse before improving as inflation is expected to climb.
Speaking to the Daily Telegraph, she said: "With commodity prices still rising, we think that food inflation could remain at its current rate of six per cent or so for the next few months."
The recent oil price hikes mean that it is unlikely that the latest rises in electricity bills are to be the last.
Meanwhile, figures from uSwitch.com suggest that food prices now cost the average family £780 more every year.
Prices for gas and utility bills have risen by as much as 15 per cent which has resulted in the average energy bill now being more than £1,000.
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