British real national and household incomes have been falling due to a combined effect from the economic recession and high inflation, said the Office for National Statistics (ONS) in an analysis released on Tuesday.

The net national income (NNI) per head in real terms dropped 13.2 percent in the second quarter of this year, compared with the pre-recession level in the first quarter of 2008, said the ONS.

This is a sharper fall in economic well-being, according to the ONS analysis.

In the second quarter of 2012, real household actual income per head was 2.9 per cent below its peak in the third quarter of 2009

"Household incomes have generally been eroded by price inflation," said the ONS.

Britain has been in recession for the last nine months, but the economy is forecasted to return to growth in the third quarter of this year. Its inflation rate stood at 2.2 percent in September.

According to a quarterly forecast report issued by Ernst and Young Item Club, Britain's consumer price index inflation rate is forecast to stand at 2.8 percent in 2012, and then ease to 2.1 percent in 2013. Endi

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