Wages, house, beer, petrol – how much more are we paying for stuff in 2022

It is often said that previous generations had it better. Well, when it comes to buying a home, petrol or a pint was just that.

Families in the West Midlands face rising costs of living due to rising energy bills and high food and petrol prices in the coming months, a new study has revealed how people are losing thousands of pounds of disposable income today .

That’s because wages haven’t kept pace with inflation over the past 35 years, which means people are worse off on average as they get stung at the pub, pump and til.

Struggling families facing livelihood crisis urged to take action now

disposable income

Over the past 15 years, disposable income has held steady at around £30,000 on average, while the cost of living continues to rise – meaning people are in worse shape.

If wages had grown at the same rate as inflation since 1987, people’s average disposable income would be £56,861 – £25,000 more than the current figure.

House prices

We are told that it has never been harder for young people to climb the housing ladder – and grim statistics show how true this is.

If home prices had risen in line with inflation since 1987, the current average home price would be an affordable £114,374.

This is indeed an eye-watering £237,350, leaving many young people off the property market and living well into their 20s with their parents as they put together a huge deposit. try to keep.

So while disposable income has only increased by 64 percent on average over 35 years, houses are six times more expensive.

cost of a pint

1987 was an easy time. You can get a pint for less than £1 with an average cost of 93p.

And when it comes to pub spending, even the class of 2022 is losing out.

The price of a pint has gone up

If the price of a pint had risen in line with inflation, the average beer would now be £2.75.

Granted, you can get by on a few beers at Weatherspoon, but in some parts of Birmingham you’ll be expected to stump up five or more for a pint.

The average price of a pint is £3.75, again showing how prices have risen faster than inflation.

petrol

The price of petrol and diesel is currently a highly controversial issue.

Prices of around £1.45 per liter for petrol and £1.50 for diesel are common in the forecourts of the West Midlands.

It has been like this for some time and the cost is not coming down, despite experts saying it should be.

It would now cost an average of £64.80 to fill an average-sized fuel tank. In today’s money, you could fill up your car for four times as much based on the price of petrol 35 years ago.

The average cost of petrol based on inflation should be £1.14 per litre.

Rugby services at Junction 1, just off the M6, where the price of petrol was recorded at 157.9p per litre.
Rugby services just off the M6 ​​at Junction 1, where petrol prices reached 157.9p a liter in October

Warning

Savu’s findings come amid warnings from the charity that struggling families may struggle to keep food on the table as rising energy bills pile on more misery from April.

Walsall Housing Group, which manages the city’s housing stock on behalf of the council, this week urged money-worrying tenants to act now before it is too late.

Black Country food banks have reported increased demand in recent months.

Leading food bank charity Trussell Trust put out a dire warning, saying on its website: “With rising living costs, energy prices at record highs and cuts to Universal Credit payments, this winter looks very uncertain to many.

“People all over the UK are going hungry and skipping meals so they can pay the bills. This has to stop.”

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