The ONS household living costs index shows that households that own their own homes have seen slower cost increases (2.3% per year on average) than privately renting households (2.5%) or socially renting households (2.7%).

Becky O’Connor, personal finance spokesperson at Royal London, said: “These statistics show the already vulnerable being hit hardest by rising living costs. It is telling that the ONS explicitly draws the distinction between costs for homeowners and those in private rented accommodation.

“Private renters not only face greater insecurity of tenure but also higher costs for the privilege. This affects their ability to save a deposit, putting home ownership further out of reach and trapping them for longer in rented homes.”