Cost of Living Still A Major Concern For NI Consumers

A significant proportion of consumers in Northern Ireland continue to grapple with the cost of living crisis, according to the latest Pulse Survey report released today. The quarterly research from the Consumer Council examines the ongoing impact of rising costs on household budgets, spending habits, and coping mechanisms.

Key findings from the survey, conducted in December 2024, indicate that while some consumers are feeling a slight improvement compared to the previous year, a substantial number remain worse off financially.

The survey revealed that:

• Two in five (40%) consumers felt their household was worse off compared to the previous 12 months. Although this is an improvement from December 2023 (53%), it remains similar to figures from August/September 2024 (43%) and June 2024 (44%).

• Almost a third (32%) of consumers believed their household was better off compared to a year prior, an 11% increase from December 2023 (21%). This figure has remained relatively stable in the previous two Pulse Surveys. pLooking ahead, just over a quarter (26%) of consumers anticipated their household would be worse off in 12 months' time, down from 36% in December 2023. Around a third (32%) expected their household to be better off in the coming year, up from 26% in December 2023.

• However, a concerning three in ten (30%) consumers reported having £150 or less remaining each month after covering their mortgage/rent and essential bills, with 15% having £50 or less left. Nearly half (46%) of consumers agreed that dealing with financial matters felt like a burden, and over a third (35%) reported that their mental health had been negatively affected by their financial situation recently.

• A significant 58% of consumers stated they had to cut back on spending on essentials after paying for their mortgage/rent and any loan or overdraft repayments.

Noleen Charnley, Head of Insight and Investigations at the Consumer Council, commented: "The Consumer Council has been conducting quarterly Pulse Surveys since 2022 to provide a regular snapshot of consumers’ perceptions and experiences during the cost of living crisis in Northern Ireland.

"While our latest Pulse Survey shows that almost a third (32%) of Northern Ireland consumers felt their household was better off compared to 12 months ago, a significant 40% still feel worse off, and 46% find managing their finances burdensome.

"Our most recent Household Expenditure Tracker indicated a slight increase in discretionary income for the lowest-earning households. However, these households still have less than £52 on average each week after covering basic expenses. Furthermore, 35% of Pulse Survey respondents reported a recent negative impact on their mental health due to their financial position, highlighting that the economic climate continues to be a major concern for many in Northern Ireland.

"To support consumers, we offer a range of advice and resources, including interactive tools for comparing energy costs and guidance on reducing bills and maximising their money."

You can view the latest Pulse Survey here: www.consumercouncil.org.uk/research/northern-ireland-consumers-cost-living-pulse-survey-december-2024