Are you putting money away to help with the further expected rise in cost of living?

[HighSea]

Name changed for this. As above really are you putting extra money away now out of your monthly budgets to cover the forecasted extra costs in fuel, food, petrol and everything we are due to see in the autumn? I am curious after a conversation with dh last night where we discussed doing this.

I think it's a sensible question. I live on my own (no kids) but just have an average-ish public sector salary (£35kpa) and have been renovating a shocker of a house, that isn't yet finished. I'm really worried about the winter and the cost of living so have been trying to squirrel away a little. I don't really have savings - I build them up and then it goes on something to do with the house, so I feel rather exposed.

I'm not going on holiday this year - might make a couple of nights at a no-frills campsite in the Lakes at a tenner a night to go walking (which is free).
Selling as much as I can on Ebay - no longer useful dresses will hopefully bring something in now it's nearly Prom and wedding season.
Ditto old sports kit - I tend to buy decent stuff so things like Rapha cycling kit has a good resale value. Walking stuff I no longer need or can fit into also sells well for people looking for DofE stuff.
Heating off already.
Using cycling as the default to get to work, rather than paying for petrol and parking.
Meal planning the arse off my shopping and cutting back on waste, which isn't always easy when you're a solo. Doing things like freezing my own soffrito, using slow cooker, batch cooking. Will forage for blackberries in August as they freeze really well and I can make loads of blackberry and apple crumbles through the winter which will feel like a treat.
Bulk buying when things are on special offer (not much!) - non-foods stuff in loft and things like butter in the freezer.
Actually costing out what meals are costing - home made pizzas are surprisingly cheap if you make your own dough too.
Being really sensible about what we grow on the allotment plot I share - going for good yielding fruit and veg. Tomato plants for the garden at home and cut and come again salad leaves on the windowsill.
Diarised when insurance runs out so I can shop for a better deal.
Agreed with family that we'll have a secret santa, so I only need buy one present instead of nine.

All that I save from the above is being put into my Monzo pots and my savings account.

Four years of car payments finishes in December, thank God, so that will also go in. Hopefully by Christmas I'll have a couple of grand that means at least I'll be able to sleep a bit easier.

All being well I'll be going on maternity leave in October just in time to coincide with the next jump in costs. I'm really lucky to have had a share save scheme at work I paid into for the last 3 years so that will give us a bumper and I'm saving every spare penny while I'm still on full wages. I'm in a hugely fortunate position but it's still concerning

We’ve always budgeted for future specific costs, and we’re just working on rebudgeting at present. Im trying to get the food costs down, which has required a wholesale reworking of the meal plans.

God no. And we can't reduce our outgoings any further either. There's too much month left at the end of the money.

I think it's a really pertinent question and one that doesn't deserve sneering responses about being tone deaf.

The new figures out today show that the economy is shrinking quicker than expected. Those who do have excess money in their budgets clearly aren't spending it at the rate that Sunak had hoped/predicted. They've lost confidence and saving it for later.

It's not without consequence when people start to tighten their buckles in advance, further aggravating concerns of a recession. It's reasonable to bring it up, it's reasonable to ask what other people are doing without been told to shut up and be quiet.

All my 'spare' money 🙄 is going into my gas and electric. I pay my bill monthly. My May bill is 180 quid so I'm going to pay 220. I might be able to run the heating a bit next winter 🤔

This. We've nothing to "put away".

Sadly no. We’re using our ‘rainy day savings’ to cover the current cost of living increase. Not sure what we’ll do when it increases more.

At the moment as a working pensioner I can put my state pension into my savings account (minus the extra tax) I was going to retire at Christmas but that is on hold - looks like I will be working a few more years

We are trying to save what we can but most months there isn't anything left to put aside. Part of our household income comes from working in hospitality so the past couple of years haven't been strong for saving for us. It honestly keeps me awake at night trying to work out how far we can stretch what we have.

I’ve been applying for new jobs to improve my salary. I just don’t see it being sustainable unless I pretty much double my wage (luckily that may be realistic, albeit with significant trade offs).

I suppose in a way yes because I am trying not to waste anything now in order to be in better shape in the future.

Fucking terrifying if you are already at the point where there is nothing to cut back on because we can all see what is coming.

I would if I could.

We desperately need tax cuts to stimulate the economy

Not saving money as such but buying extras of things now - toilet rolls, toiletries, cans etc with long life especially if on offer so extra cash available later from effectively shop from own stocks

Remember my Dad saying years ago that buying in bulk at times if high inflation worked for the family finances. Does of course assume a bit of spare cash now

This would be a great idea, except for the fact that tax cuts don't really stimulate the economy unless very carefully targeted at the bottom end, which of course our government won't do.

We need benefit rises and targeted tax credits (anyone got Gordon Brown's phone number?). We need to put money on at the bottom.

If you give me a tax cut, I'm going to save it.

This is the sort of thing my mam says. You really ought to have savings, you know - for a rainy day!

She absolutely does not grasp (apparently) that I would love to. There is fuck all left every month, and we are generally in the overdraft. Haven't had a holiday for approximately ten years. We don't buy luxuries. There is literally nothing left.

Of course I'd put money aside if I could afford to. It's irritating when people 'wonder' why you don't, as though you are a bit daft.

At the minute we are paying off debt and I've budgeted for when my fixed rate energy tariff ends.

I don't know what else we can do to be honest. Once the debt has gone we will be ok next year I hope but it's frightening how much everything has gone up.

We will be ok I think but I don't know how sone people will manage in the winter.

Boris etc seem to have no concept of how the working class live. He had no idea how much nappies cost ffs. Now neither do I as it's a few years since I have had to buy them but he has kids still in nappies.

The last two years have just been unbelievable.

No but I've already started cutting and stacking wood for next winter and the garden is planted with more veg than I usually grow.

If I can cut the food & heating bill a bit, we should be ok.

I am as I'm a saver, but I think a lot of people won't have the extra cash to do this. Your post is quite shortsighted.

I think we will see riots as soon as it starts getting cold.

I work in the energy industry and we are seeing senior and middle management being out on courses ref theft of gas and electric.
It will happen as you cannot choose between heating and eating.

What worries me if that we will see more gas explosions and fires as a result.

How long are the price rises meant to stay for? Is there any talk of when they may come down a bit or is it a case of once they are higher they will stay there? I think we will just about be ok next winter with some changes but not too sure about the year after.

For gas and electric specifically, I am paying a flat rate per month with means I’m building credit for winter. That’s the same approach as every year, just my monthly payment is higher now.

ditto @Testina

Did you change your sofa every 3/4 years?😱

Ive always been a saver so will continue to save as much as I can. I’ve never had a new car or yearly holidays so I won’t miss those things. It’s those with little room to manoeuvre who I really feel for.
Unfortunately I really don’t think we have seen anything yet . The next few years are going to be tough.