With the latest fuel increase, house holds are being hit even harder financially. Although, everyone is suffering the consequences of the excessive fuel increases, the poorest homes are really finding it hard. The latest reports conclude that households are spending more than a quarter of the income on their cars.
Poverty motoring over the fuel increase
The latest statistics from the RAC conclude that house holds that are better off financially spend roughly 10% of their income on motoring. The poorest homes, however, spend approximately 12% on motoring costs.
A UK house hold typically spends approximately £67 per week on motoring costs. Motoring costs include fuel, insurance, MOT, road tax, repairs and servicing.
Motoring has become one of the biggest outgoings for every house hold, whether they are financially better off, or poor. It is hoped that the RAC figures will shock the Chancellor George Osbourne, and that he will have some sort of concern during the new financial budget this next coming month.
The fuel increase is a global problem; it is not bound to the UK only. So long as oil prices continue to increase then fuel prices will also rise.
The poorer homes are left to scrimp every penny they can. Already though, many homes are drowning under the weight of financial pressure. It is likely that as the fuel increase rises, scrimping could end up futile. More and more people will have to face giving up their cars as a result of not being able to pay for motoring expenses.
The current increases now leave unleaded petrol at and average of £1.39 per litre and diesel at £1.46 per litre across the UK.
Motoring expenses are another transportation as well as trains, buses and taxis. All areas of transportation have been hit hard. With the poorer people facing the threat of giving up their motor, and not being able to afford other means of transportation, the future at present doesn't look promising.
To find out more on motorists who are cutting down their driving check out our recent news blog here.