1. Much of what you need to know about household debt can be explained by the grocers Stephen Blackman, RBS Economics MAS Conference, June 5 th 2014 External Version

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3. 3 “Lidl discount supermarket plans to double UK stores” – “new era” BBC News Dec 2013 “Waitrose targets £15bn sales in 10 years” Telegraph Oct 2013

4. Meet Jane and Scott 4 They live in Dundee with their two young children 1 in 5 households (5 million) Earn £32,000 Pay £4,600 in taxes Receive £5,000 in child benefits Mortgage debt of £88,000 6 th richest household Spend 93p in every £1 on life’s essentials Income unchanged since 2004 Unsecured debt of £4,600 14p in every £1 of income is a cash benefit Source: ONS Tax and Benefit Data; ONS WAS; ONS Family Spending; ONS ASHE – all various years

5. Our productivity programmes in the UK still have huge potential, not least through the use of technology. Technological innovation isn’t going away

6. Globalisation isn’t going away … we source more than 60% of all clothing and 40% of other non-food items through the global sourcing office.

7. Big change in the jobs we do 7 Change in proportion of jobs since 2001 (%) Source: ONS LFS

8. Almost all UK private sector debt is held by households 8 UK private sector debt Source: BoE Bankstats (Excludes OFIs)

9. Home ownership rates are falling 9 Proportion of middle-income household buying with a mortgage (%) Source: ONS Tax and Benefit Data

10. Changes are affecting us all 10  Paul (40). 2 million households  Earns £16,000, receives no benefit  Unsecured debt of £8,100  Mark & Claire (40s). 2 million households  66p of every £1 of income is a cash benefit  Unsecured debt of £4,600  Sarah & Chris (30s). 3 million households  £64,000 after tax.  But having children may change fortunes  Unsecured debt of £4,750, mortgage of £120k Source: ONS Tax and Benefit Data; ONS WAS; ONS Family Spending; ONS ASHE – all various years

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