Cost of living crisis - how are you affected? Is it just me?

[Eve223]

Name changed for this post.
How are people coping with the cost of living crisis? It is hard to believe there is one when the shops and supermarkets are packed, restaurants fully booked and people still taking expensive foreign holidays, buying new cars and houses etc. Are people just living on credit? Is it just me who has had to tighten my belt?

Genuine questions, not trying to be goady.

We live in an affluent area. Few people have been affected tbh. Most (including us) have relatively low mortgages & well paid jobs. Loads of people have solar and big batteries. Lots work partly at home saving on transport costs, lots of hybrid & electric cars.

It has knock on effects too. Everyone is still spending, so local businesses keep thriving and employing staff etc.

@PottyDottyDotPot where are you going that you’d spend £400 a month on petrol if you’re not commuting?!

We are actually fine. Although we both earn minimum wage we are on a fixed energy deal till next year. And my DP works at at a supermarket, so we get discount on our food anyway. Plus lots of discounted meat at end of day. We have not had to cut back on anything.
However l would hate to think how l would cope If it was 10 years ago when l was a single mum on benefits. The prepayment meters often ran out before l had money and we often went without heating./ Electric. I feel for anyone living like that now it's really horrible way to live.

I do think the media is making a mountain out of a molehill. My energy bill is approx doubled from a year ago but now I get £66 a month refunded over the winter. Pubs and bars are full when I’ve been out. Supermarkets as busy as ever. Socials full of people having big birthday celebrations and kids parties

Our electric has gone up £100 a month, water £30 extra a month, food is costing us about £20 more a week. Fuel hikes hit us hard.
We're dipping into our credit cards more.
We have started to buy second hand more for our clothes.
We're cutting back on meat, we're cutting back on meals out.
We're going to free clubs more and more. Heating will need to be on less in the house.
1 holiday opposed to 3 in a year.
Instead of going to WDW We're going to universal.
Expensive HP going back, saving £500 a month for a cheaper car.

So there are changes for us, despite it looking like everything's just fine on the outside.

I don’t understand the proliferation of these threads, it’s like the ops just cannot comprehend that everyone has different finances and a large amount of people have enough disposable income to weather it and not be significantly impacted.

it’s like the threads saying how can people afford more than me is it credit. No mate they earn more.

Currently living on less than £78 a week due to ill health, I just wish the UK would allow for euthanasia like Canada.

A lot of people do rely heavily on credit. Many of the cars you see on the road are on finance and many properties will be repossessed over the next year.
However there is also a bigger middle class than ever, so many people who do always have disposable income, even if slightly less than recently.

No mortgage any more - tho was paying 6% when hsd one fir a few years in 1999/2000 and obv slightly less in 2010

if did have one would be screwed

the rise in gas electricity diesel and food is enough to tip me

@OldPosterNewUsername sending you an unmumsnetty hug.

Our weekly shop has increased circa 40% our energy bills . Our energy bills up circa 2.67 fold. In total circa £3880/year. Obviously this does not include discretionary spending and other bills eg council tax, clothing etc

@Eve223

Thank you, you are kind

@PottyDottyDotPot where are you going that you’d spend £400 a month on petrol if you’re not commuting?!
To the spa, golf club, down to the coast for lunch, visiting friends and family, to slightly further away shopping places than we used to go when we short on time, cinema, local theatre, mini breaks in the UK etc, etc.

I don’t know anyone who isn’t worried tbh. We’re not in the bracket that is in danger of falling into poverty but things are feeling daunting at the moment. We’re cutting back as much as we can.

Agreed!

Meanwhile politicians are heating up their pools and redecorating no.10 with taxpayers' money...

For now, there's been little noticeable effect. I've just finished supporting three children through university, so with no related costs for that, I'm better off than I have been for a long time.

Lots of things could explain this. People shopping with cash on high street instead of lots of frivolous online purchases. People tend to use cash to keep track of spending. If you think about it, cash flow can be affected by online purchasing - waiting for days for refunds to register in your account means you can't spend that money when you might need it, so maybe households with less disposable income will do high street shopping instead.

People tend to turn to lower price items instead of large purchases when budgets are tightened. So maybe more small purchases rather than big ones (holidays, large furniture items etc).

It's the week after pay day for lots of people, so probably busiest week of month.

I'm already shopping for Christmas to spread cost, so perhaps others doing the same.

You can't just look in a shop or cafe after pay day and decide there isn't a recession or cost of living crisis after all. I did comment on the amount of retail space up for rent in my town all of a sudden, but that could mean anything too.

Same my careers back on track after 23 years of being a bit bumpy. Things have literally never been so good for us.

I am sure we can read that some people aren't feeling the effects and not struggling without the smugness throughout their posts!

It's not just you.

Food and energy bills are crippling us. I'm disabled and work from home but due to my joints I need the heating on more than I would like for our budgets.

My contract runs out at work on December 31st. It's going to be a very bleak new year for us.

Some replies seem rather naive. Many will not be affected yet but only because of the energy price cap and/or a fixed rate mortgage. Interest rates have increased again today, with the BoE predicting the longest recession since records began and doubling unemployment. I am in a good position (fixed energy, no mortgage) but recessions affect jobs and businesses in unforeseen ways and I am not being complacent.

Watching your local high street means nothing. Real data from banks is showing that many people are changing their habits - more saving, less spending, changing spending habits, consolidation of loans. Sensible people are being cautious.

@donttellmehesalive I don’t think ppl are being complacent about it. But I am certainly a lot more relaxed about the shit hitting the fan in terms of both of us losing jobs. Like you we have no mortgage so knowing that no matter nobody can take it from us and thar we will have a home is worth so so much. We could figure the rest out I would hope.

This is us. Both worked as usual through Covid and saved £20k so paid the mortgage off.

Have not read all previous posts but... Itstpretty hard to see these things from the outside.

We have 2 very decent wages, live in a big open plan chapel conversion in a village with no mains gas connection. Our heating is in oil fired.

We have always been quite careful about switching it on but this year extremely so.

I WFH full time and am basically cold all day. (I use my standing desk and an Oodie type wearable blanket)

We've cut down on meals out and I am economising our weekly shop (though somehow still spending noticably more than 4 months ago)

No one else looking I would see these adaptations though, and as we don't go round wearing signs saying "we're also feeling the pinch" it would be difficult for others to see.