HOUSEHOLD incomes shrunk between May and June, while debt levels grew quickly, according to a report released by Aviva yesterday.
Average monthly family incomes slumped seven per cent between May and August this year, from £2,150 to £2,003. The insurance company suggests this is likely to be due to the increased responsibilities acquired by parents during school holidays.
Perhaps as a response to the loss of income, families were drawing down savings and building up debts – the typical household owed £1,249 more and had £97 less to count on after the three months passed.
A surge in the number of adults living with family has accompanied this drop in savings and income. Some 73 per cent of respondents – which would extrapolate out to be 36m people – admitted to calling on their relatives for help with housing in a time of need.