Brand New World

The impact of the last recession on households has become clearer, with official figures highlighting the first fall in family spending for 10 years.

The data from the Office For National Statistics was released as a key indicator showed consumer confidence in personal finances has hit a 21-month low, ahead of the looming public sector spending cuts.

In other words, not since the height of the recession in February 2009 have Britons felt so bad about their wealth.

The household spending figures give a snapshot of what families were going through at that time and what they gave priority to in their budgets.

They show people spent less on clothing, transport and mortgages last year than in 2008.

The annual report found the average weekly household spend was £455, compared with £471 the previous year – the first drop within the last ten years.

Spending was highest on transport at £58.40 per week.

Of the £52.20 average weekly spend on food and non-alcoholic drink, almost three-quarters was purchased from large supermarket chains.

Giles Horsfield, ONS statistician and editor of the report, said: "Higher expenditure on some housing related costs such as rent, electricity and gas (was) offset by lower spending on mortgages."

The survey also found 25% of homes do not have a PC and that mobile phone ownership in Wales stands at just 49%.

More recent data from the ONS shows a recovery in household spending during 2010, with figures pointing to a rise of 7% in the year to the second quarter.