Living standards affected by cost of housing around the UK

The cost of housing in different parts of the UK is having a big impact on living standards, those looking for mortgage rates have been told.

Martin Bamford, chartered financial planner and managing director of Informed Choice, said that where housing is cheaper then associated mortgage costs will be lower.

However, areas of expensive property stock will mean that the same household income will not go as far.

"Certainly London and the south-east are the most expensive areas to live, as the cost of housing is so high relative to other parts of the country. Across the UK there are pockets where housing is far more expensive than the local average, so the cost of living in these areas can be very high also," he added.

Mr Bamford went on to say that wealth is all about money which is saved, rather than what is earned, so therefore it is important to allow for living cost increases every year.

Recently, British Gas announced that it was putting its gas and electricity prices up by 18 per cent and 16 per cent respectively.

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2011-07-14 11:36:25 © Moneyextra.com