Budgets running on fumes as car costs outpace inflation

Rising transport costs have outpaced inflation in the year to June, auto industry research found. (Dan Peled/AAP PHOTOS)

High transport costs are fuelling household budget concerns with research revealing a surge of more than 10 per cent over the course of a year.

Figures from the Australian Automobile Association showed households in three capital cities were spending more than $500 a week on transport, and the average cost of driving a car and catching public transport soared to $458 per week across the nation.