Payment protection claims and credit card refunds may be useful for households who are struggling with financial problems caused by high inflation and stagnating incomes.New research from MoneySupermarket.com has found that the average British family spends 27 per cent of its income paying monthly bills. Households who are classed as having a low income – those earning less than £12,000 a year – are faced with even greater difficulties, as bills account for half of their salaries.People living in the south-east may also face money worries as they are paying £633 - the highest average amount for monthly utilities in the country.Kevin Mountford, head of banking at the site, said inflation was still high despite a recent drop and this, coupled with incomes that have remained frozen for long periods, has meant that the portion of income spent on bills is increasing.According to the Office for National Statistics, the cost of gas, electricity and clothing has meant inflation has remained high.Charles BakerCharles is a reputed financial analyst with decades of experience under his belt.
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