Japanese households are spending more due to extreme heat this summer, as the mercury continues to break record highs while inflation further squeezes household spending.

Tokyo households spent an average of ?3,512 ($23.84) extra a month compared to a scenario in which the average high temperature is in line with the 30-year average high through 2020, translating to an estimated total increase of ?77.2 billion, according to and published on Aug. 25.

The household average in the same study last year was ?3,122.

The largest increases were in food and travel expenses and money spent on air conditioning units. Spending on medical services also increased considerably.

While demand for vegetables and seafood went down, spending on beverages, sweets and prepared foods that do not require cooking increased. Food-related spending was up by ?19.2 billion in July and August due to the heat.

Spending on health care, mainly due to services related to heatstroke prevention, increased by ?8 billion. Spending on furniture and household items, such as air conditioning units, rose by approximately ?11.2 billion.

Rising temperatures affect not only household consumption, but also corporate sales, the report said. In addition to extreme heat, unstable weather, such as typhoons and heavy rain, affects crop growth, which contributes to price increases for food products such as rice.

conducted by the Daiwa Institute of Research indicates that, if the monthly average temperature rises above the 1991-to-2020 average by 1 degree Celsius, nominal household consumption would increase by 0.3% in July, 0.2% in August and 0.1% in September.

It estimates that the heat wave this year could boost nominal gross domestic product for the July-September quarter by 0.16%, or ?239.7 billion.

Japan has experienced increasingly hot summers over recent years. The average temperature this July was the highest since statistics were first compiled in 1898, breaking the record for the third year in a row, according to the Japan Meteorological Agency.

The Tokyo Metropolitan Government waived the base service fee for water utility bills this summer, which typically cost an average of ?860 to ?1,460 per month. Starting Aug. 30, the capital¡¯s government will offer ?80,000 in subsidies for the elderly and people with disabilities who purchase eco-efficient air condition units.