Cost of running home ‘at four-year high’

The expense of owning and running a home is now at its most expensive for four years, a new study has indicated.

An annual survey by Hali…

The expense of owning and running a home is now at its most expensive for four years, a new study has indicated.

An annual survey by Halifax on the issue has concluded the expense has soared to its greatest since 2008 due primarily to the rising cost of utility bills.

This has risen from £9,149 last year to £9,393, up 2.7 per cent, but remains below the £9,406 figure of 2008.

One reason the overall cost is still lower is that mortgages have been nearly a quarter cheaper than in 2008, with the record low base rate being a key factor.

However, the squeeze on incomes means that those who are paying off debt may find this harder at a time when the cost of running a home is rising.

Although the annual 2.7 per cent increase is less than inflation, it is more than average pay is growing by.

According to the latest data from the Office for National Statistics, the three months to January saw the annualised rate of pay growth slip to just 1.4 per cent, compared to 1.9 per cent in December 2011.

By James Francis

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