Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what recent assessment she has made of the impact of inflation on household disposable income.

Real Household Disposable Income (RHDI) per person includes all sources of household income, net of taxes and inflation.

In the year to Q1 2025 (2024/25) RHDI per capita was 2.9% higher than in the year prior (2023/24), the fastest pace of financial year growth since 2015/16.

HM Treasury does not prepare forecasts for the UK economy. Forecasts, including for real household disposable income per person, are the responsibility of the independent Office for Budget Responsibility (OBR). These forecasts are published by the OBR as part of their Economic and Fiscal Outlook (EFO).

According to the Office for Budget Responsibility’s March 2025 forecast, RHDI per person was forecast to grow at an annual average of 0.5% over this parliament (Q3 2024 – Q2 2029).