Cost of living study - how much is your household spending?

Thursday 05 October 2023

The States wants to know how much money households are spending over a fortnight, with the first batch of invitations being mailed to random addresses this week.

The household expenditure survey is conducted every five years and runs for a full year, with at least 1,000 homes wanted to take part.

Helen Walton, the States’ head of Data & Analysis, said the data gathered is “vital” to ensure social measures, such as benchmark items which help calculate the rate of inflation, can be updated and be as representative as possible. 

The results also help predict the effects of future government policies. 

Spending over two weeks will need to be tracked through a diary, which will be kept confidential. A “fieldworker” will also be on hand to assist homes to fill out a questionnaire and answer questions.

“In the past, it has helped households better understand where they might be able to make some savings and our fieldworkers have information on financial support, if needed,” Ms Walton said. 

“We know long forms, particularly on financial topics, can be intimidating or unappealing, but one of our fieldworkers will take you through the questions and be there to help if anything is unclear.”

Cash prizes are also available for those who complete both parts: Either a draw for three top prizes between £50 and £150, or smaller amounts for each person in the home

The survey is now open and closes next October.

Pictured: Responses will help to shape market and social research.

The last survey was conducted between 2018 and 2019, with data collected on the spending habits of more than 2,300 people of different demographics and socio-economic backgrounds, logging over 80,000 purchases. 

It found that the mean average expenditure on items, bar tax, social insurance, and pensions, was £1,121. 15% of yearly spending was for goods and services off island, such as online purchases.

48% of spending was non-discretionary, meaning unavoidable or hard to reduce expenses such as housing and food. 

Owner occupiers with mortgages spent the most per year on average, followed by private market renters, those without a mortgage but owners, and those in social housing. However, the first groups’ spending amounted to 83% of their gross incomes, while those in social housing spent 93% of theirs. 

The newest expenditure survey is part of wider data gathering being led by the States currently alongside the Bailiwick wellbeing survey which seeks personal views to guide healthcare policies and is open until the end of the month.