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As global uncertainty impacts on household budgets, purchasing power of NI families remains lowest of UK regions

Posted By:
ASDA Stores Ltd

30th Apr 2026

  • Discretionary income in Northern Ireland remains the lowest of all UK regions at £138 per week in Q1 2026
  • March recorded the greatest pressure on discretionary incomes in NI reflecting the dependency on home heating oil and the impact of price volatility from the outbreak of war in the Middle East.
  • NI families have £22.67 per week less than those in the North East – the next worst performing region.
  • The average UK household had £261 weekly discretionary income in Q1 2026 and £257 in March – a drop of £5.32 from February.
  • NI suffers most marked slowdown in growth – purchasing power growth fell by 12.8 percentage points from 14.6% to 1.8% between Q1 2025 and Q1 2026
  • NI also showed the largest slowdown on a quarter-to-quarter basis, from 6% in Q4 2025.
  • Gross income growth in NI remains depressed at 3.4% reflecting the higher rate of low-paid, low-productivity jobs compared to the UK average.

Asda’s latest Income Tracker report has revealed that Northern Ireland families came under renewed pressure in March as rising prices and global uncertainty resulted in the average household managing on a discretionary income of £138 per week.

As such Northen Ireland continues to be the region with the lowest spending power, and significantly below that of the equivalent figure for the average UK family which has £257 per week at their disposal.

Pressure on discretionary incomes was particularly acute in March due to the region’s reliance on home heating oil (approx. 62.5%* of homes use oil as their primary heating source c/o Consumer Council NI).

With prices almost doubling between February and March as commodity markets reacted to attacks on gulf energy infrastructure and the closure of the Strait of Hormuz, the impact on household incomes has been severe.

Gross income growth also remains depressed at 3.4%, reflecting the NI economy’s higher rate of low-paid, low-productivity jobs, compared to the UK average.

Northern Ireland’s performance follows the UK-wide trend, with family budgets generally coming under greater pressure in March, with spending power down £5.32 per week compared to February. This marks the first year-on-year contraction since 2023, signalling a shift after a period of gradual improvement.

Michael McFadden, Snr Director for Asda in Northern Ireland added:

“The report clearly reflects the very real pressures which local families are facing with rising costs making day-to-day budgeting an increasing challenge. Locally we are really feeling the impact of the spiralling price of oil, not only hitting hard when it comes to heating our homes, but also due to our dependency on cars as our main mode of transport.

“At Asda we will continue to do all we can to keep prices in check and deliver value for our customers each and every time they shop with us.”