Byline: Steve Doughty Scoial Affairs Correspondent

FAMILIES have less to spend than at any time over the past ten years, an official analysis revealed yesterday.

The study, by the Office led replacement bulbs for National Statistics, found that an average household paid [pounds sterling]471 a week for everything from the cost of housing to lottery tickets in 2008 - the lowest spending per home since 1999.

A breakdown of the figures showed people are now laying out less on clothes and shoes, holidays and sports, cars and travel tickets, restaurants, alcohol and gambling.

In the four years between 2004 and 2008, average family spending each week, allowing for inflation, has fallen by [pounds sterling]25 from [pounds sterling]496 - a drop of 5 per cent.

The last time families spent so little was around the turn of the millennium, when state spending remained on a tight rein.

The story told by the ONS in its annual Family Spending survey is that the amount of money available for consumers has been falling since before the recession began in 2007.

The ONS showed that in 1999/2000, an average family spent just over [pounds sterling]464 a week at 2008 prices. That rose to [pounds sterling]484 in 2000/2001.

Its report continued: 'In 2002/03 the total average weekly expenditure was Fake Audemars Piguet Watches [pounds sterling]491.50, which grew to a peak of [pounds sterling]496 in 2004/05 before declining to its lowest value of [pounds sterling]471 in 2008.'

Ruth Lea of the Arbuthnot Banking Group said: 'Until 2007, a lot of spending was on credit. Now the debt collector has come calling. We have unemployment and gross domestic product has fallen by 5 per cent.

'Every time Gordon Brown told us he had abolished boom and bust, there were a few of us who thought it wasn't real. Now we know it wasn't.'

Spending was higher in the country than in cities, with those in rural areas paying on average [pounds sterling]505.40 a week for their homes, goods and services, compared to [pounds sterling]446.70 average spending for town dwellers. After homes, the biggest single outlay for
embroidered patches most people was transport. The average cost was [pounds sterling]63.40 a week, down by 70p in real terms on 2007.

CAPTION(S):

' What d'you mean you're hungry? You had a nice lunch on Tuesday'

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