More Pennies in the Jar, September 2026 Inflation & Affordability Update
I was chatting with a neighbour near the high street this morning, and they mentioned something I hear at least three times a week: "Daniel, surely with everything getting more expensive, nobody can actually afford to move right now?"
It’s a common myth. We tend to think that if the price of a pint of milk or a tank of petrol goes up, the dream of moving house must go down. But here is the reality: while things are still getting pricier, the money landing in your bank account at the end of the month is actually growing faster than the bills are.
What exactly is this 'Inflation' thing?
Think of inflation like a slow, steady leak in a paddling pool. If you don’t keep pumping it up, the water level (what your money can buy) drops. Right now, that leak is at 3.1%.
To put that in plain English, a basket of shopping that cost you £100 this time last year would now cost you £103.10. It’s the reason your favourite Friday night takeaway feels a bit dearer and why filling up the car takes a few more coins than it used to.
The Good News: Your Pay Packet is Winning
Did you know that even though prices are rising, the average person’s pay has actually gone up by 4% over the last year?
If you do the maths—4% more pay minus 3.1% higher costs—you’re actually left with about 0.9% more spending power. We call this a "positive signal." For the first time in a while, it feels like we aren't just running to stand still; we are actually moving forward, even if it’s just by a few steps. Your "spending muscle" is getting slightly stronger every month.
What does this mean for your move?
When it comes to your home, the Bank of England has kept their main interest rate at 3.75%. Because wages are growing, the banks are looking at people wanting to move and thinking, "Actually, you look like you can handle these monthly payments quite well."
Across the whole country, the average home is now worth £287,949. That is a small rise from last month, showing that the market is ticking along nicely. People aren't panicking; they are looking at their pay rises and realising that moving to a house with a bigger garden or a better kitchen is actually back on the cards.
Bringing it home to IG10 3
So, how does this national "pay rise vs. price rise" battle affect us here in IG10 3?
Well, in our little corner of the world, we have a very balanced market. With 77 homes currently for sale and an average asking price of £474,290, things aren't moving at a breakneck speed, but they aren't standing still either.
When people in IG10 3 see that their wages are finally beating the rising cost of living, it gives them the confidence to go from "just browsing" to actually putting an offer in. For landlords, it means tenants are in a slightly better position to manage their rent, and for families, it means that the "moving fund" is finally starting to grow again rather than shrinking.
The bottom line? Things are feeling a lot steadier. We aren't out of the woods entirely, but for the first time in ages, the wind is at our backs rather than in our faces.