BIL-LIGERE: Chris and Sara Opdal got rid of debt. Photo: Mattis Sandblad / VG
We are cutting back on nightlife, food and electricity, shows a new VG survey. But a family of three at Vestfossen took a step that promises even more.
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A new survey carried out by Respons Analyze for VG shows that Norwegians are tight on spending39 per cent have cut back on nightlife and entertainment, 38 per cent have reduced electricity consumption, and 34 per cent have reduced their food budget in the last six months Among the respondents, eight per cent have received financial help from friends and family, seven per cent have taken out consumer loans or increased use of credit cards, and five per cent have asked for interest-free repayments or payment deferrals According to a report from SIFO, 150,000 households are in a bad way financiallyShow more
The policy rate has been set from zero to 4.25 per cent over two years. Food prices have risen nine percent in the past year alone.
Many have no more savings to spend.
Respons Analysis has asked for VG what measures people have taken in their personal finances in the last six months. This is how they answered:
39 per cent have cut back on nightlife and entertainment38 percent have reduced their electricity consumption34 percent have reduced their food budget
When VG asked the same question in December 2022, 67 percent answered that they had turned down the electricity. For food and nightlife, the figures were about the same.
Sara and Chris Opdal from Vestfossen between Drammen and Kongsberg went even further when they had to cut down on household expenses.
– We sold the Mercedes. Now we drive an affordable Ford, says the father of three.
SAVE POWER: Many people turn down the thermostat. Photo: Heiko Junge / NTB
He estimates that they save NOK 8,000 a month on the car exchange.
– We got rid of unnecessary and unhealthy debt and collected the interest rate increases on the mortgage and that’s it, just on that car, says the 32-year-old.
Here are more figures from the survey Respons Analyze has carried out for VG:
Eight percent have received financial help from friends and familySeven percent have taken out consumer loans or increased use of credit cardsFive percent have asked for interest-free loansFive percent have requested a payment deferment on bills
In the age group under 35, 16 per cent have received financial help from friends and family. Nine percent between the ages of 35 and 54 have asked for interest-free repayments.
Info
About the survey
The survey has been carried out by Respons Analyze for VG. 1033 people aged 18 to 88 have responded to SMS. The sample is nationally representative. The survey was carried out on 28-29 September 2023. Show more
The family from Vestfossen notices that they get less for their money in everyday life.
– We probably spend more on food, because prices have gone up. But I take less advice on things than before. Instead of beef, it will be something else, says Sara Opdal (33).
Rarely in the city
The couple believe they have always been good at saving electricity.
– What about nightlife?
– Minimally. But it was before that too.
– Holidays, then?
– I guess we’ve rarely stood on the big drum. The children do not need expensive trips to the south. We travel to visit family, says Sara Opdal.
PRICE FALLS: High interest rates cool down the housing market. Photo: Gorm Kallestad / NTB
Norges Bank has announced another interest rate increase in December.
– Many people are already struggling. And the interest rate is still on the way up, says Chris Opdal.
– Tighten the screw
According to the central bank, housing interest rates will be in the high fives until spring 2026.
– Households will experience further tightening of the screw, said chief economist at Akershus Eiendom Karin Due-Andresen to VG after the latest interest rate increase.
She thinks the buffer accounts with savings are about to be emptied:
– Interest rates have been raised very quickly. Many have not had a sigh of relief until the bills pile up. Now they are starting to worry about their own finances.
Chris Opdal believes that it is healthy for many to cut back on consumption, but feels sorry for those who are at the other end of the scale and cannot afford it.
SLUM STATION: The Salvation Army distributes food to the needy. Photo: Stian Lysberg Solum / NTB
According to a new report from the Norwegian Institute for Consumer Research (SIFO), 150,000 households are in bad shape. Many skip meals because they cannot afford them.
Hungry all day
25,000 households state that someone in the household has not been able to eat for an entire day – and that this has happened three or more times in the last four weeks.
– Living conditions are becoming very tight for many households that are at the bottom of the security barometer, says SIFO researcher Christian Poppe.
According to SIFO, three times as many people are in bad shape than before the animal age set in in the summer of 2021. But the “vulnerable” and “struggling” groups are also increasing significantly.
Only 51 percent are financially secure, according to the SIFO report.
The purpose of interest rate increases is to reduce price inflation. It will particularly benefit those who have the least to deal with, says Norges Bank.
PIN + OK: Card use by Norwegians is falling markedly. Photo: Yan Sun / VG
We shop less
One in three states in the survey conducted by Respons for VG that they have not taken any special measures in their personal finances in the last six months.
It is especially those who are 55 or older who have not had to take action.
But over half of all households have in the last six months tightened up on at least one area of consumption, such as electricity or food, according to SIFO.
Merchandise trade is also falling card use decreases. Norges Bank states that the economy is in the process of cooling down.
But there is light in sight, the central bank believes and writes:
– From next year, we envisage that wages will once again rise more than prices.
Published:
Published: 02.10.23 at 18:37
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2023-10-02 16:37:52
#action #times #Sold #Mercedes #rid #debt
