By DAILY MAIL REPORTER The average British household now spends an average of £18,000 on bills every year The average British household now pays out £18,000-a-year in bills which adds up to a whopping £1million over a lifetime, a study reveals today. Researchers found the typical annual cost of a mortgage, food costs, credits cards and loans and utility bills combined other outgoings add up to £18,114.50 annually. That means £941,956.08 will disappear from the bank account in direct debits, cheques and standing orders over an adult lifespan of 52 years. The staggering cost of living in the UK emerged 24 hours after the Government announced a new green tax which will add another £230 a year to energy bills. Gareth Kloet of comparison site www.Confused.com, which carried out the research, said it was staggering to discover how much people spent on bills over a lifetime. 'Nobody likes paying bills and many people just pay them each month without giving it a second thought,' he said. 'In the current climate, people are trying to do everything possible to get their monthly bills down and making sure you are getting the best deal could save you hundreds of pounds.' The study of 5,000 Brits found the biggest chunk of cash goes on the rent or mortgage - which amounted to around £515.19 a month - or £6,182.28 a year. Credit card and loan repayments account for a further £2,791 per year - or a lifetime total of £145,111 - while car tax costs £98.96 per year. Utility bills such as gas, electric and water soak up £1,167 each year while the huge council tax bills see £1,222 disappear from our bank accounts annually. Car, home, contents and life insurance adds another £1,476.84 to the grand total each year and bills for mobile phones and landlines cost an annual £627. Even watching television costs money with an annual TV license costing £142.50 - a total of £7,410 over a lifetime. To add to that, a further £225 per year - £11,688 over a lifetime - is also spent on Sky or cable subscription. Surfing the internet also accounts for £204 a year, while travel insurance for trips through the year costs £23.76. The report also found almost half of us are struggling to meet bill repayments with 55 per cent finding it hard to keep up with their payments because of the credit crunch. And 17 per cent even admitted they have completely ignored bills in the hope they will go away. But a savvy 67 per cent of consumers regularly do their research to make sure they are getting the best deal, while 83 per cent have switched companies to get a cheaper deal elsewhere. Mr Kloet said: 'Bills have to be paid but by doing your research and looking for the best deals, at least you can make sure you are paying as little as possible.' The study also found millions of people are regularly over-charged or misled by utility companies. Food shop £310.35 £3,724.24 £193,660.48 Credit card/loan repayments £232.90 £2,790.60 £145,111.20 Utilities (Gas/water/elec) £97.29 £1,167.48 £60,708.96 Car insurance £90.87 £1,090.44 £56,702.88 Council tax £101.85 £1,222.20 £63.554.40 New Green Tax £19.16 £230.00 £11,960 Landline £26.64 £319.68 £16,623.36 Mobile phone £25.60 £307.20 £15,974.40 Home/contents insurance £19.87 £238.44 £12,398.88 Sky/cable £18.73 £224.76 £11,687.52 Internet £17 £204 £10,608 Life insurance £12.33 £147.96 £7,693.92 TV licence £11.88 £142.50 £7,410 Car Tax £8.25 £98.96 £5,145.92 Travel Insurance £1.98 £23.76 £1,235.52 How the average household now pays out £18,000-a-year on bills every year
Last updated at 3:51 PM on 13th July 2009
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Monday, 13 July 2009
Breakdown of bills: Month year Lifetime
Mortgage/rent £515.19 £6,182.28 £321,478.56
Total £1,509.89 £18,114.50 £941,954.00
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