- Three-fifths of households (59%) saw at least one bill rise last quarter[1], but TV-and-film streaming apps like Netflix are Brits’ most uncuttable cost[2]
- Two-thirds (66%) of households refuse to cut back on streaming, alongside music subscriptions (61%) and gym memberships (60%)[2]
- Brits are nearly twice as likely to cut spending on takeaways (47%) as to cut back on a streaming subscription (25%) or their gym membership (31%)[2]
- The average household spent £1,535 a month on essential bills and costs[3], but spending on holidays was up one sixth (16%) as the summer approached[4]
- Only a quarter of households (27%) think their finances will improve in the next year[5], with a similar proportion (26%) saying they're worse off than three months ago[6]
- Uswitch.com urges households to make bills one less thing to worry about by cutting the amount they spend on utilities.
As new PM Andy Burnham makes the cost of living his top priority, households are resisting cutting back on a trio of expenses dubbed the “new essentials” – with streaming services, music subscriptions and gym memberships least likely to be trimmed[2], reveals new research by Uswitch.com, the comparison and switching service.
Almost three-fifths of households (59%) saw at least one bill increase over the past three months, with two-fifths (43%) seeing two or more cost hikes[1].
Nearly half of homes (46%) saw their grocery bill rise between April and July, with a third (34%) reporting council tax hikes and three in 10 seeing their energy bill climb[1].
Table: Households spending compared with more than three months ago
| Spending on essentials | More | Less |
|---|---|---|
| Groceries | 46% | 9% |
| Council tax | 34% | 6% |
| Energy bills | 30% | 14% |
| Water bills | 27% | 7% |
| Home broadband | 20% | 8% |
| Mobile bill | 17% | 8% |
| Car insurance | 16% | 8% |
| Childcare | 16% | 11% |
| Home insurance | 15% | 7% |
| Rent or mortgage | 14% | 5% |
Source: Uswitch Household Budget Tracker
But when it comes to finding savings in the budget, two-thirds of households (66%) said they wouldn’t cut back on services like Netflix, Disney+ and Amazon Prime, while three-fifths (61%) would protect music apps like Spotify and Audible, and a similar proportion (60%) would keep spending the same amount on their gym memberships[2].
The trio of streaming, music and gym has been dubbed “The New Essentials”, representing three things that modern households struggle to survive without.
Households were almost twice as likely to cut back on takeaways (47%) as they were to trim spending on their streaming services (25%). Families are most likely to protect spending on their children’s hobbies, with two-thirds (66%) not planning to cut back on activities[2].
Table: How households plan to cut back on spending[7]
| Spending | Will not cut back | Will cut back |
|---|---|---|
| Streaming service(s) (Netflix, Amazon Prime, Disney+, Apple TV+, etc) | 66% | 25% |
| Children’s hobbies and activities | 66% | 27% |
| Music or media subscription(s) (Eg Spotify, Audible, Apple Music, YouTube etc) | 61% | 29% |
| Gym or fitness membership or classes | 60% | 31% |
| Non-essential spending on pets (treats, toys) | 55% | 35% |
| Hobbies and activities (cinema, bowling, crazy golf) | 55% | 32% |
| Live event tickets (theatre/musical/concert/sport) | 50% | 38% |
| Restaurants | 50% | 42% |
| Takeaway drinks (coffees) | 46% | 45% |
| Takeaway meals | 45% | 47% |
Source: Uswitch Household Budget Tracker
The average household spends £1,535 a month on essential expenses, paying £568 on average on rent or mortgage payments and £265 on groceries. Council tax (£160) and childcare (£152) make up the next biggest household cost, with energy bills next at £120 a month[3].
Holidays were the one area where a higher proportion of households were spending more, not less, in the last quarter, with one in six (16%) spending more, compared with 14% spending less. One in five households (21%) spent less on takeaways in the last three months, with the same proportion (21%) cutting back on restaurant visits[4].
Two-fifths of households (38%) wouldn't currently feel confident in their ability to pay for a long-haul holiday, with a third not confident in their ability to save (34%). Concerningly, one in seven households with children (15%) aren’t confident that they can afford childcare[8].
Table: Confidence in ability to pay for expenses[8]
| Expense | Net: Confident | Net: Not confident |
|---|---|---|
| A long-haul holiday | 43% | 38% |
| Adding money to your savings | 61% | 34% |
| A large one-off purchase (e.g. £500+) | 62% | 32% |
| A short-haul holiday | 61% | 26% |
| Paying off/towards any outstanding debts (loans, credit cards etc) | 50% | 17% |
| Childcare | 57% | 15% |
| Essential household bills (e.g. energy, broadband, water, council tax) | 84% | 15% |
| Rent/mortgage | 53% | 13% |
Source: Uswitch Household Budget Tracker
Households rate their finances at +3.3 on average when asked to rank them from minus 10 to plus 10, with two-thirds of homes (66%) feeling more positive overall, compared with a fifth (21%) feeling more negative[9].
A quarter of households (26%) say their finances are worse than three months ago, against one in seven (15%) who think they’re better[6]. Households are evenly split about how they expect their position to be in a year, with a quarter (27%) thinking it will be better, and a similar proportion (28%) believing it will be worse[5].
Uswitch is urging households to take control of their bills and reduce the amount they’re spending on insurance, energy costs and utility bills.
Sabrina Hoque, a consumer expert from Uswitch.com, comments: “The cost-of-living crisis is putting real pressure on millions of households, but there are a few expenses that Brits won’t give up easily.
“Streaming, music subscriptions and gym memberships have become the ‘new essentials’ to most households, and many prioritise paying for these almost as much as real essentials like energy and water bills.
“We’re keeping our eye on home spending as energy costs and other bills soar, and it’s clear that lots of consumers are feeling the strain.
“If you haven’t checked your bills recently, you could be spending more than you need to. Make a comparison online and see if you can save money.”
See if you can save on your household bills at Uswitch.com
Notes to editors
Research conducted online by Opinium, 6th to 9th July 2026, among 3,000 UK adults, weighted to be nationally representative.
1. Respondents were asked ‘Thinking about the past three months (April – June), how has your or your household’s spending changed, if at all, in each of the following areas compared with the three months before (Jan – Mar)?’ 59% said at least one bill had increased. 43% said two or more. 30% at least three. 19% said at least four. See first table in release.
2. Respondents were asked ‘Thinking about your financial situation in the next three months, how likely or unlikely are you to cut back on each of the following?’ See table in release.
3. Respondents were asked ‘Thinking about the past three months (Apr – Jun), how much did you / your household spend on average PER MONTH on each of the following? See table below.
Table: Average household spending
| Monthly spending | Average |
|---|---|
| Rent or mortgage | £568 |
| Groceries | £265 |
| Council tax | £160 |
| Childcare | £152 |
| Energy bills (gas and electricity) | £120 |
| Driving costs (petrol, diesel, public EV charging) | £77 |
| Loan, credit card or other debt repayments | £41 |
| Water bills | £37 |
| Car insurance | £37 |
| Home broadband | £32 |
| Home insurance | £27 |
| Mobile phone bill (personal) | £21 |
| Total | £1,535 |
4. Respondents were asked ‘Thinking about the past three months (April – June), how has your spending changed, if at all, in each of the following areas compared with the three months before (Jan – Mar)?’
| Spending | Less | More |
|---|---|---|
| Takeaway meals | 21% | 10% |
| Restaurants | 21% | 13% |
| Takeaway drinks (coffees) | 17% | 10% |
| Days out (zoos, theme parks, national trust etc) | 17% | 12% |
| Pubs and bars | 16% | 12% |
| Household furniture/home decor | 16% | 10% |
| Hobbies and activities (cinema, bowling, crazy golf) | 14% | 11% |
| Holidays and travel abroad | 14% | 16% |
| Live event tickets (theatre/musical/concert/sport) | 14% | 11% |
5. Respondents were asked ‘Considering this time next year – July 2027, how if at all do you expect your financial situation to have changed? ‘ 43% said no change. 27% said better. 28% said worse.
6. Respondents were asked ‘Thinking about your household's current financial situation compared with three months ago, would you say your situation is?’ 15% said better. 26% said worse. 58% said ‘about the same’.
7. Respondents were asked ‘Thinking about your financial situation in the next three months, how likely or unlikely are you to cut back on each of the following?’ See table for full results. ‘Don’t know’ respondents omitted.
8. Respondents were asked ‘How confident are you in your ability to pay for each of the following in the next 3 months?’ See table in release.
9. Respondents were asked ‘How do you feel about the current state of your household finances? Please answer on a scale of -10 to 10 where -10 is extremely negative, 0 is neutral, and 10 is extremely positive.’ Average response was +3.3.
