How 'Average' Are You?

This amazing survey of Middle Britain shows that no-one is 'average' -- we are all unique. However, it does pay to watch those averages!

For more than sixty years, Acacia Avenue has been a byword for British suburban life. Hence, for "Acacia Avenue: A Portrait of Middle Britain", the AA interviewed over two hundred people living in the UK's fifteen Acacia Avenues. Over a three-month period, this survey enabled the AA to gain a greater understanding of what makes us Brits tick. You can view the results of this unique social study (and Simon James' stunning photography) on the Acacia Avenue website.

What comes to light is an extraordinary portrait of everyday life, populated by an amazing collection of individuals, families and communities. Here are some of the gems of information which emerged from the AA's research into the residents of Acacia Avenue:

Happiness, Working Life and Home, Sweet Home

Almost eight in ten residents (79%) rate themselves as 'very happy' or 'extremely happy'.
The average Acacia Avenue worker earns £22,500 a year for a 36-hour week, and has been in the same job for 11½ years. Three in seven (42%) hold a degree, which is far above the UK norm.
Middle Britain favours the three-bed semi, with two-thirds (64%) of Acacia Avenue dwellings fitting this description. Families and older couples dominate, with more than half (53%) of residents describing themselves as middle aged.
Almost all homes in Acacia Avenue (98%) have a garden, nearly a fifth (19%) has a shed -- and one in twelve (8%) has garden gnomes!
The majority of residents (55%) have one major holiday a year, with Spain being the most popular foreign destination.
That great British culinary tradition, fish and chips, is the favourite dish of four in ten (41%) Acacia Avenue dwellers.

As you can see from the AA's survey, Middle Britain is alive, well and largely unchanged, despite appearances to the contrary! Then again, in my previous life as a marketing manager, I coined the phrase "averages invite comparisons" to caution against the use of 'averages'. (You can learn about the different kinds of averages here.)

In other words, an average on its own doesn't tell you a great deal: to get the full picture, you need to dig deeper into the data. Nevertheless, for most of us, an average acts as a benchmark against which we can compare ourselves -- what I call HDIC or "How Do I Compare?" So, here are a few financial averages for you to measure yourself against:

The average mortgage is £86,800

According to the Bank of England (BoE), total mortgage debt in the UK is £1,007 billion. Shared between 11.6 million home loans, this comes to around £86,800 per mortgage. However, those who bought their homes many years ago will have much smaller mortgages, whereas many recent buyers will have six-figure loans. Gulp!

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The average non-mortgage debt is £7,700 per household

The BoE's latest figures reveal that unsecured debt (credit and store cards, car and personal loans, overdrafts, etc.) totals £192 billion. Across the UK's 25 million households, this comes to almost £7,700 per household. Of course, millions of households (including mine) have absolutely no debts, whereas others are struggling with £20,000, £40,000, even £100,000 of consumer credit. Aaargh!

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The average savings per household is £22,700

According to the Bank of England, the UK's 25 million households have a total of £567 billion on deposit, or a tidy £22,700 per household. Naturally, some households have no savings, whereas others have hundreds of thousands stashed away. I know which end of this range I'd rather be!

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The average cost of home and car insurance totals £1,100 a year

According to the AA's very own British Insurance Premium Index, the average annual premium for home buildings and contents insurance is £360, which is £133 a year more than its Shoparound premium of £227. For comprehensive car insurance, the average annual premium is £758, which is £294 a year more than its Shoparound premium of £464. Blimey, I'm glad that I don't run a car!

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Actually, maybe averages do come in handy, after all. At the very least, they allow us to see how much we're being ripped off when we buy financial products!

Finally, if you'd like to see more of the residents of Acacia Avenue, there is a free exhibition of Simon James' photographs at the Cork Street Gallery, London W1 from Monday, 24 July to Friday, 28 July. I'll be there on Wednesday evening!

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