Getting poorer

Individuals had less disposable income to spend on average in the first three months of the year than during any quarter since 2003. Disposable income per head, taking inflation into account, fell by 1% on the previous quarter, the Office for National Statistics said.  This measure of income is the amount of cash individuals have to spend after tax.
Meanwhile, savings levels also dropped as families felt the squeeze.

The increase in prices over this period eroded the growth of household income, the ONS said. Income, primarily from pay, weakened too as a number of firms had frozen pay.