The cost-of-living crisis is hitting people living in rural areas harder than those living in towns and cities, according to a new report.

The study, by the Rural Services Network, says those in the countryside are spending much more on essentials like heating, transport and housing.

Facing “significantly higher” costs, they earn “much less” than their urban counterparts, the report found.

Since the pandemic, house prices have also soared in comparison to towns.

The study found that rural house prices are almost 40% higher than in urban areas across England (excluding London), with rural villages and hamlets increasing to 55% higher.

Meanwhile, rural households on a low income now spend about half of their earnings on rent – almost 5% more than low-income households in urban areas.

‘Families in fuel poverty’

Houses in the countryside also tend to cost a lot more to heat, as many are less well-insulated and are not connected to the gas grid.

The research shows that rural households need more than £500 to take them out of fuel poverty, which is twice as much as in urban areas.

The cost of getting around is also higher, as an estimated 3,000 rural bus routes have been “lost or reduced” in a decade, according to the Campaign for Better Transport.

Because of a greater reliance on cars, the data shows that rural households spend on average about £114 per week on transport, compared to £80 for urban households. This eats into a higher proportion of disposable income.

Despite these higher costs, rural employees with the lowest earnings face wages 12% lower than those working in urban areas.

Graham Biggs, chief executive of the Rural Services Network, which represents rural councils and other service providers, said: “Outdated infrastructure and a legacy of other factors, such as poor transport and broadband connectivity, employment opportunities and housing demand, means that many rural areas are more isolated than maps suggest and are all contributing to a higher overall cost of living.

“The government must overcome policy silos and develop an integrated approach that recognises the multiple forms of disadvantage rural areas face.

“This should include levelling up the rural economy to ensure that low wage levels can be improved, as well as supporting rural houses to become more energy efficient to help get families out of fuel poverty.”

Liz Truss’s claims gas from fracking could flow in six months has been called into doubt – with one company estimating it could take as long as 18 months.

The government lifted the ban on fracking on Thursday, despite warnings from climate campaigners and geologists.

Ms Truss is hoping the move will help make the UK more self-sufficient for energy, but campaigners have warned it would do little to alleviate the huge bills Britons currently face.

And the fracking industry has said the planning and environmental permit process would need to be sped up and earthquake limits relaxed for their investment to make sense.

Firms need both environmental and planning permits to start fracking, as well as licences, Health and Safety Executive scrutiny and consent from the Business Department, according to the UK Onshore Oil and Gas (UKOOG) industry body.

Energy prices are soaring for millions of households across the country as Ofgem’s price cap rises to £1,971 on 1 April.

However, 1.5 million households that are served by heating oil will also find their bills increasing dramatically, according to Energy Helpline.

These homes, which are mostly situated in rural locations, are not covered by the price cap and so they are likely to find themselves affected by rising costs.

Heating oil prices are linked to oil prices more generally, and in recent weeks these have increased rapidly following Russia’s invasion of Ukraine and subsequent sanctions – Russia is the third biggest producer of oil in the world.

Rural homes are also facing long delays receiving deliveries of LPG (liquified petroleum gas) as the ongoing HGV driver shortage has left providers struggling to fulfil orders.

Households could have saved nearly £400 a year in bills during the energy crisis if the government had not scrapped a green policy on homes, according to new analysis.

Data from the Liberal Democrats, seen by The Independent, increased this figure from previous estimates to reflect the rising cost of living.

It found plans to make all new homes achieve net zero emissions would have shaved hundreds of pounds off household bills when another price cap increase will see them soar in spring.

“This is yet another example of how acting sooner on climate change can save consumers money on their bills,” Chris Venables, head of politics at the Green Alliance think tank, told The Independent.

The scrapped environmental rules would have prevented new houses from releasing a net amount of carbon into the atmosphere during day-to-day running. Among other factors, this would have been achieved through good energy efficiency – considered key to keeping bills, as well as emissions, down.