Britons have more money in their pockets than ever before
Britons have more money in their pockets than ever before, in a sign that the longest squeeze in living standards on record has come to an end.
Median household disposable income stood at £25,600 for the 2014-15 financial year, according to the Office for National Statistics.
This is slightly above its pre-downturn level of £25,400 and 6.5pc above its post-crisis low.
The experimental data, which were adjusted for inflation and household size, suggest that disposable incomes have finally surpassed their pre-crisis peak.
However, the figures also showed retired people were more likely to feel the benefit than those of working age.
Income for retired households grew further above its pre-crash high of £19,300 to £21,100 in real terms. But median income for working age households stood at £28,100 – £800 below the pre-crisis high of £28,900.
Adam Corlett, an analyst at the Resolution Foundation think tank, said the figures, which include pay and earnings from state benefits and investments, illustrated “how the downturn has been felt very differently across generations”.