TAPAS.network | 29 April 2022 | Commentary | John Siraut

Cars, trains, buses and flights: How much do we all spend on transport?

Some fascinating figures are revealed by a look at the transport elements of the ONS weekly Household Spending survey- both the balance of different modal categories, and the change over time. John Siraut here examines the data, and what it tells us about the differences across incomes and age distribution.

THE OFFICE FOR NATIONAL STATISTICS household spending survey provides a detailed snapshot of our spending habits. Figure 1 shows total weekly spending on transport over the last 20 years and as a percentage of total spending. Over that 20-year period, total household expenditure has remained relatively stable. However, the amount spent on transport declined steadily, mainly due to the reducing cost of cars, from nearly £100 a week at the beginning of the Millennium, reaching a low point in 2012 of £71.70. It has risen since then but remains about 20% below its peak. As a percentage of total household spending it has fallen from a high of 17% in 2001 down to 14% now.

Figure 1: Household expenditure on transport in 2019-20 prices.

As figure 2 shows, motor fuel accounts for the largest proportion of weekly transport spending (24%), followed by the purchase of second-hand cars at (18%) which is perhaps surprisingly around twice as much as is spent on the purchase of new cars. Vehicle insurance is also a significant cost, accounting for 12% of transport spend. Public transport on the other hand comes out at just 8% of weekly total transport spending.

Figure 2: Transport spend by category

The average household spend data hides a number of variations when income and age are taken into consideration. Figure 3 shows the percentage of household transport budget spent on; car purchase, fuel, rail and bus fares by household income decile. There are some clear and not surprising trends in the data in relation to public transport. Lower income households spend a higher proportion of their transport budgets on buses, although at just 4% it is still very low. This proportion falls to just 1% for the highest income group. While the proportion of household income spent on rail fares starts to fall as income rises but then rises steeply for the highest income households. However, in aggregate the proportion of household spending on public transport for the highest income households, at 8%, is broadly the same as the lowest income ones. With regard to motoring costs, the highest income groups while spending the highest in absolute terms on purchasing vehicles, as a percentage of total transport expenditure they spend the least. For them, fuel costs which account for over 30% of their transport costs is the largest single item. It is notable that higher income households spend more on fuel than car purchase while for lower income households it tends to be the other way round.

Figure 3: Proportion of household transport budget spent on vehicle purchase, fuel, bus and rail fares by household income decile.

The spending patterns based on age are different again. As table 4 shows, the under 30s spend a higher proportion (and in absolute terms) of their transport budget on public transport, especially rail fares. Vehicle insurance is also a higher cost for this age group than all other age groups.

Motoring expenditure mainly relates to the purchase of vehicles except for the oldest and youngest age groups where fuel accounts for more of their budget.

Figure 4: Proportion of household transport budget spent on vehicle purchase, fuel, bus and rail fares by age of household reference person.

The average household now spends more on air fares (excluding the air fare component of package holidays) than on public transport. Whilst motoring costs account for the vast majority of all households’ transport budgets regardless of income or age.

Statistics available from the ONS Data Set Family spending workbook 1: detailed expenditure and trends.

John Siraut is director of economics at Jacobs.

This article was first published in LTT magazine, LTT844, 29 April 2022.

d5-20220429

taster

Read more articles by John Siraut

Stats aren’t what they used to be: Big data may rule, but TSGB and the Census still tell key stories

Recent UK transport and travel statistics releases paint an interesting, but far from clear, picture of current patterns of activity, and where they are heading. LTT’s regular data analyst John Siraut looks at data from both the new Transport Statistics Great Britain publication and the latest release from the 2021 Census of journey to work behaviour. First he reflects on the overall significance and relevance of the data.

10 January 2023

Transport Statistics Great Britain (TSGB) 2023

The publication of the annual compendium of Britain’s transport statistics has traditionally been an important data source for the profession, though less significant in recent years with other material emerging more regularly. John Siraut dips into the newly published Transport Statistics Great Britain (TSGB) 2023.

9 January 2024

National Travel Survey shows still unfinished patterns of change

Each year the Department for Transport publishes its National Travel Survey for England, providing a snapshot of our travelling behaviour; why we travel; for how long; and by what means. There is usually not much change from year to year, but the pandemic has changed our travel behaviour and in this article John Siraut looks at some of those changes between 2018/2019 and 2021.

20 September 2022

Read more articles on TAPAS

ORR reveals huge new rail origin-destination data matrix

In a surprise move, the Office of Rail and Road has published a major new data resource about rail travel. TAPAS's regular contributor of analysis of transport statistical information, John Siraut, takes an initial look at what is available, and what it reveals

John Siraut | 13 December 2023

Delivering policy requires expert government outreach

THE LAST FEW WEEKS have brought a welter of new and complicated legislative material and policy development relating to transport filling LTT’s pages. This issue is one of our largest ever, with much material to analyse and interpret as official bodies clear their desks before the summer break, and parliament rises. Their output may not be national headline- grabbing stuff, but will be of considerable concern to professionals active in the various areas involved, and presumably acknowledged by government itself as significant in ensuring that implementation of its policy agenda is smooth and effective amongst the intended audience.

Peter Stonham | 30 July 2025

‘Going for growth’: what does it mean to the people in the street, - and for the streets themselves?

Amid all the talk from the government about achieving super-charged levels of economic growth, John Dales sees a disconnect between the high-level language and the realities of most people’s daily lives, and what they would see as genuine improvements for them. What does it look like at street-level, he ponders, and how better might we think about tangible local prosperity and wellbeing?

John Dales | 19 February 2025