Pet ownership costs soar as vet bills and food prices rise

Pet food inflation had eased to close to zero by April 2025, but the bills that bite hardest for many households were still climbing. Bank of America said pet services inflation, including veterinary care, remained relatively high, even as nearly 94 million U.S. households owned at least one pet.

That gap helps explain why the typical budget for a pet can look far larger than many owners expect. Illinois Extension, citing the Consumer Expenditure Survey, said the average pet-owning household spent about $770 on pet expenses in 2021. A July 7, 2025 analysis from Pet Benefit Solutions said pet care costs had risen by more than 19%, while the American Veterinary Medical Association said veterinary prices rose faster than inflation in 2025.

The sharpest pressure still comes when routine care gives way to bigger medical bills. The RSPCA said lifetime ownership costs exceed $39,000 for dogs and $32,000 for cats, and said a large dog can cost more than $5,000 a year while a cat can run about $1,000. That makes the price of food only part of the calculation. Once vet visits, medication and other services enter the picture, the annual total can jump well beyond the amount many households budget when they adopt a pet.

Insurance has become part of the same squeeze. A 2023 NJ Spotlight News report said some major U.S. pet insurance carriers sought rate increases of 33%, 44% or 56%, a pace that far outstripped broader inflation and the rise in vet services. In Britain, the Pet and Equine Insurance Association said in a 2025 submission to the Competition and Markets Authority that it had been established in 2024 because of concern about the sustainability and affordability of care for pet and horse owners.

Owners are also underestimating the smaller recurring costs that add up over a year. A January 28, 2025 UK release said pet owners spent an average of £1,486 on dogs and £1,479 on cats in 2024, including more than £350 a year on toys, clothes and presents. The same release said 28% of respondents admitted they spoil their pets more than themselves.

UK Pet Food said 57% of UK households, or 16.2 million, kept 38 million pets, down from 17.4 million households, or 62%, in 2022, even as the total pet count rose from 35 million the year before. The message for households is blunt: food is no longer the main inflation story, but vet care, insurance and other recurring pet costs still decide whether ownership fits inside the budget.