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Bill as a proportion of disposable income

Bill as a proportion of disposable income



Bill as a proportion of disposable income - This compares our average household bill with average household disposable income. To calculate the latter we use the Equivalised disposable income statistics, published by the Office for National Statistics (ONS) in their report titled "The effects of taxes and benefits on household income". 

This data is published two years in arrears and we uprate it by the most recent forecasts of household disposable income from the Office for Budget Responsibility (OBR), taking into account the overall change in households using the ONS Families and Households publication. This gives us the final denominator to calculate the bill as a proportion of disposable income. 

We are targeting a reducing trend over the five years. 

Based on the latest ONS and OBR data our 2018-19 bill was 1.4% of disposable income. This compares with the position in 2014-15 when the bill was 1.6%, our 2015-16 and 2017-18 bill which was 1.5% and our 2016-17 bill which was 1.4% of disposable income; this meets the reducing trend target.