Brits fear everyday costs will be ‘unaffordable’ by 2021

Brits fear everyday costs such as phone contracts, train tickets and dental check-ups will be ‘unaffordable’ by 2021, it has emerged.

Research carried out among 2,000 adults found almost three quarters are concerned they will struggle to cope if the cost of living continues to rise.

The cost of utility bills, supermarket food, petrol and housing all featured highly on the list of things which we worry will soon soar once more.

And one third of adults said they were worried about insurance costs rising, with the over 50s almost twice as concerned (49 per cent) as younger generations (27 per cent).

But more than half of all Brits fear their income is unlikely to keep pace with rising prices over the next three years, while the same proportion have already been forced to adapt their shopping habits due to crippling price hikes.

Another one third of adults believe they will have to change the way they shop and will greatly struggle if prices rise further.

The study was commissioned by Saga Insurance, which has recently launched a three year Fixed Price Promise for motor and home insurance.

Gary Duggan, CEO of Saga Insurance, said: “It’s clear from the research findings that on the whole the nation is extremely worried about future costs.

“Uncertainty about prices rising makes it harder for people to budget and plan their outgoings based on their income.

“As many suggested, a rise in prices doesn’t necessarily mean a rise in wages, so fixed prices for a few years will at least reassure people that no unexpected outgoings will arise.”

The research also found more than two thirds would like to fix the price of a product or service, with the top choices being electricity bills and petrol.

More than four in 10 would choose to fix the cost of insurance – with four in 10 wanting to see motor and home insurance prices stay as they are, while one sixth don’t want a rise in travel insurance.

Half would also want petrol prices to come to a halt for the next three years, while 69 per cent would like utility bills to stay as they are.

One quarter want the cost of their core weekly shop to be fixed, in particular bread and milk.

Medical costs were also found to be an issue, as three in 10 would like to see dentist check-ups stay at their current cost and almost one quarter want to see the price of prescriptions come to a halt.

It also emerged three quarters of the over 50s are worried about supermarket food going up in price by 2021, compared with 54 per cent of under 50s.

And in the past three years, 47 per cent believe electricity bills have already gone up in price, one third think supermarket food has increased and four in 10 reckon petrol has seen a hike in price.

If prices were fixed, three in five said they would find it easier to manage their finances, with more than half of those saying things simply cost ‘too much’ nowadays.

Similarly, three in 10 over 50s would like to fix costs so they don’t have to shop around for better deals and to plan ahead with things such as holidays and bills.

Recently the ONS revealed that household costs have risen more rapidly for retired households than non-retired since 2017.

The study, carried out via OnePoll also found 27 per cent of under 50s find it hard to budget compared to just 12 per cent of over 50s, suggesting younger generations will find struggle the most with price rises.

Worryingly, three in 10 adults have already found themselves unable to afford something due to price increases at least once or twice.

Gary Duggan added: ”Our new Fixed Price Promise hopes to give customers that reassurance when it comes to an outgoing almost everyone is affected by – insurance.”

Top things Brits want to see the prices fixed of:
1. Electricity bills
2. Petrol
3. Motor insurance
4. Home insurance
5. Dentist check-ups
6. Car MOT
7. Train tickets
8. Parking in hospitals
9. Core weekly shop
10. Mobile phone contract
11. Prescriptions
12. Parking in car parks
13. Milk
14. Bread
15. A house
16. Over the counter medication
17. Travel insurance
18. Bus tickets
19. Stamps
20. Fruit
21. Flights within Europe
22. Alcoholic drinks out
23. Cheese
24. Education fees
25. Meals out
26. Luggage on a flight
27. Haircut
28. Cinema tickets
29. Furniture for the house
30. School uniform

Leave a Reply