Is life more expensive now than 30 years ago?

Yes, life is significantly more expensive now than 30 years ago, driven primarily by soaring housing, education, and energy costs that have outpaced wage growth. While some manufactured goods are cheaper, essential expenses for a standard of living (like housing, childcare, and fuel) have increased sharply. Housing costs in particular have skyrocketed, with median home prices and rental rates rising dramatically since the 1990s.

Is it more expensive to live now or 50 years ago?

Median income has exceeded inflation over the last 50 years. That means on average cost of living compared to income has decreased, meaning life is more affordable now.

Why is life so much more expensive now?

Prices are high because we had high inflation shortly after COVID due to lockdowns, supply chain issues, stimulus printing, and low interest rates.

How much has the cost of living gone up in the UK?

The cost of living increased sharply in the UK during 2021 and 2022. The annual rate of inflation peaked at 11.1% in October 2022, a 41-year high, before subsequently easing. In May 2024, inflation fell to 2.0% (the Bank of England's target) for the first time since July 2021.

Why is life in the UK so expensive?

because the uk, like every other country has a central bank (ie. not a free market money). this means that assets (ie. housing) gets monetised, and its value becomes more than its utility value alone.

Why Housing Keeps Getting More Expensive

Is it cheaper to live abroad than the UK?

Our findings show that only Singapore, Italy, Denmark and Switzerland have a higher cost of living than the UK—which had a cost of living score of 3.33 out of 10. From food to entertainment, we've looked a variety of factors to reveal the countries with the most affordable living costs.

What salary is needed to live comfortably in the UK?

To live comfortably in the UK, a single person generally needs to earn around £30,000 - £35,000 annually, while a couple might need £43,000, though this varies significantly by location (London is much higher) and lifestyle, with a comfortable life including essentials, some leisure, and savings. For a family, figures rise, with a couple and two children needing closer to £74,000, according to 2025 Minimum Income Standards (MIS). 

How to enjoy life without money?

It is very possible to enjoy life without money with a little effort and brainstorming. You can trade and swap for things like clothing and books, and shop cheaply for other items. With some creativity you can enjoy a host of free or inexpensive activities with friends and family.

What is the #1 cheapest state to live in?

Below is a detailed breakdown of the ten most affordable states to live in 2025:

• Arkansas. Arkansas continues to be one of the most affordable states in the U.S., especially for those looking to buy property. ...
• Mississippi. ...
• Oklahoma. ...
• New Mexico. ...
• Missouri. ...
• Tennessee. ...
• Michigan. ...
• Texas.

Will the cost of living ever reduce?

With wage growth above inflation, the cost of living crisis “appears to be coming to an end”. Annual growth in employees' average regular earnings, excluding bonuses, was 4.6% in the three months to October 2025 – which is the most recent period for which figures are available.

Is it harder to buy a house now than in the 1970s?

Yes, it is generally much harder to buy a house now than in the 1970s, primarily because house prices have dramatically outpaced wage growth, creating a severe affordability crisis, especially for first-time buyers needing large deposits and higher income multiples, despite lower relative interest rates in parts of the 70s and higher wages overall. While 70s buyers faced high inflation and interest rates, today's challenge is the massive income-to-price gap, making deposits incredibly difficult to save. 

What was the average wage in the 80's?

1980s pricing. Forty years ago, the average Brit working full-time was on an annual gross salary of £8,283. In 2024, and that same sum would barely cover half your annual rent.

Who benefits from inflation?

A common misperception is that inflation is bad for everyone (who likes more expensive stuff?). But this is not the case. Inflation reduces the value of money. Because of that, people who have borrowed money benefit from a higher inflation rate when they pay the money back.

How much was a box of cereal in 1980?

In 1980, a 15‑oz box of cereal (e.g. some mainstream brands) was priced at $0.99. For that same size, earlier years were lower: around $0.89 in 1977 and $0.79 in 1978. By 1981, the price jumped significantly to about $1.69.

What yearly salary is considered rich in the UK?

A £213,000 annual income is deemed enough to be wealthy

When asked what you need to be considered wealthy, participants in the HSBC report suggested an average annual income of £213,000 was the threshold in the UK – more than six times the national average salary.