UK household disposable income per person rose by 1 per cent in the second quarter, but the increase came from higher benefit payments rather than wages. The figures suggest that benefits helped households cope with rising taxes, inflation and other cost pressures, while disposable income remained slightly below its level when Labour took office.

Office for National Statistics data put income at £6,577 in the second quarter, up from £6,511 in the first quarter and £6,538 in the third quarter of 2024. Social benefits rose by 1.1 per cent, including increases to the state pension and Universal Credit; wages made no contribution to the rise. Separately, GDP growth was revised up to 0.5 per cent for April to June, though growth for 2025 as a whole was revised down from 1.3 to 1.2 per cent.