Asda finds northern families are £60 a week worse off

Families in the north are £60 a week worse off than those in the south, according to latest research from Asda.

The supermarket’s latest Income Tracker shows that families in northern regions continue to have less money left in their pockets after essential spending, despite average UK household budgets improving year on year.

Households across the north east, north west and Yorkshire and the Humber had an average of £202 a week left after essential spending in the three months to June 2026.

This was £60 less than households in the east of England, south east, London and south west, who had £262 a week remaining after bills and essential spending.

The survey revealed households in London had the most discretionary income with an average of £337 a week remaining, while the east of England recorded the second-highest level at £285 and saw the strongest income growth.

In stark contrast, households in the north east had just £165 a week left after essential spending – less than half the amount available to households in London – while Yorkshire and the Humber averaged £212.

The findings come as new prime minister Andy Burnham promises to focus on devolution and regional economic growth, with greater emphasis on boosting investment and opportunities across the UK.

Sam Miley, head of forecasting and thought leadership at Cebr, said: “Q2 2026 saw annual growth in the UK-wide Asda Income Tracker pick up to its highest rate in a year, with the pass-through of inflationary pressures from the war in Iran more muted than many anticipated.

“However, UK-wide progress hides significant regional disparities. Discretionary incomes in London are estimated to be over double those in the north east.

“Looking ahead, significant headwinds remain for the Income Tracker. A resumption of hostilities in the Middle East, as well as recalibrated energy bills, will add new inflationary pressures throughout the second half of the year. For lower-income households, for whom a higher proportion of their essential spend goes on energy bills, these pressures will be felt far more acutely. We therefore would expect existing regional inequalities to be exacerbated over the rest of the year.”

Leeds-based Asda said it remained committed to helping families across the UK.