Ulster families cash in on disposible income..

...but we’re worse off than Britain

Families in Northern Ireland have more “spare” money to spend than a year ago – but it’s still far less than the UK average. A survey by Asda Income Tracker found discretionary income families here have each week – the amount left after essentials such as mortgage, rent and food are paid for – had increased by £6 to £107.

It’s the biggest percentage growth anywhere in the UK and almost twice that seen in London.

The report said it was result of an increase in employment, public sector pay rises and a cut in the cost of fuel.

But Northern Ireland still has a long way to go to catch up with other parts of the UK when it comes to the actual amount of discretionary income. It’s only 39 per cent of the £257 enjoyed by people in London and far behind the UK average of £200.

The average discretionary spend across the UK grew by 0.9 per cent, the first increase in since July 2017.

Kay Neufeld, Economist at Cebr which carried out the survey for Asda, said the slowdown in price rises is a welcome relief.

“After a difficult 2017, the increase in the ASDA Income Tracker provides households with a welcome break from the ongoing squeeze on family incomes,” she said. After remaining stubbornly high for months, inflation is finally slowing down while wages continue on a steady upwards trend.

“The regional picture shows that especially those regions with in-demand industries such as manufacturing and tech fare well as workers can command higher wages. The uptick in the

Income

Tracker gives reason to be cautiously optimistic for the 2018 outlook although households still face numerous downside risks including interest rate rises by the Bank of England and another inflationary spike due to the tight labour market later in the year.”