Saving Money – Four Ways to Cut Household Expenditure
We are living in difficult financial times for the average household.
The rate of inflation is set to hit 10% later in 2022, a rate that hasn’t been seen in more than three decades. This is a result of drastically increased prices in the average supermarket shop, as well as skyrocketing energy bills and ever-increasing costs at the petrol pump.
As stagflation fears abound, more and more families are looking for new and unique ways to cut down on household costs in order to save more money. Thankfully, there are several angles of attack that households can make to reduce their monthly expenditure, from changing habits to introducing new ones entirely. What follow are some simple ways you can address your own outgoings, and potentially reduce the impact of the current economic landscape.
Work from Home
The coronavirus pandemic precipitated a shift in attitudes to working, as remote working systems and agreements were fast-tracked into common use. Working from home is now seen as a viable method of work by a majority of businesses, and could present a useful way for you to reduce your expenditure.
Working from home means less money spent on a daily commute, and less money spent on lunchtime meal deals or hot food. The government may also offer you tax relief from certain household expenditures, if you end up spending more on energy or internet to accommodate
Fuel prices have increased considerably, and show no signs of coming back down. With the era of petrol-powered cars coming to an end as a new breed of automobile gains popularity, now could be a good time to make the switch to an electric car. Electric vehicles, or EVs, cost much less than gas-guzzlers to run, and are also cheaper to maintain – being less prone to breakdown than petrol cars. EVs are also exempt from road tax, lightening the burden of your car’s annual running costs.
Cooking from home more often is not likely to completely solve your money issues, but can have a significant impact on your day-to-day comfort with regard to spending. By batch-cooking cheap and simple meals, you can eat healthily throughout the week without haemorrhaging money on expensive ready meals and take-aways. Many supermarkets have re-introduced cheaper ranges of food, thanks to pressure from food poverty campaigners to make essential items accessible to harder-hit families.
Energy prices are one of the biggest drivers for increased financial hardship, as the cost of gas and electricity ballooned over the winter period to more than double previous rates. As such, any savings that can be made on energy will have knock-on effects on affordability elsewhere. Insulation is a primary way to increase your home’s energy efficiency, with cavity wall insulation saving up to £480 per year in energy bills.