William Eichler 14 March 2022

Third of households unable to afford cost of living rises

Third of households unable to afford cost of living rises image
Image: perfectlab/Shutterstock.com.

Over a third (34%) of households will be unable to afford the cost of living by £8,600 this spring, think tank says.

The new analysis by the New Economics Foundation (NEF) found that around 23.4 million people will struggle to afford the cost of living by April 2022.

This figure includes nearly half (48%) of all children, almost all (96%) of children living in families out of work, eight in 10 (77%) in single-parent households, and four in 10 (43%) in working families.

The research uses the Minimum Income Standard (MIS), which is the UK’s leading approach to measuring living standards based on need and is used to calculate the ‘real’ Living Wage.

The think tank also looked at how the cost of living crisis impacted different regions.

It found that 43% of families in the north-east, 41% in Yorkshire and the Humber, 39% in the West Midlands, and 38% in London would be unable to afford the cost of living.

‘The cost of living is increasing faster than at any point in recent history. While all families are set to feel a squeeze come April, the lowest income households will be hit proportionately harder,’ said Sam Tims, economist at the New Economics Foundation.

‘But the cost of living is only a crisis when people cannot afford it and Government support must be able to flexibly respond to this. There is little time left for the Chancellor to take action to avert the worst real-terms incomes squeeze in 50 years.’

SIGN UP
For your free daily news bulletin
Highways jobs

Part Time Finance Administrator

Essex County Council
Up to £25081.00 per annum + Pro Rata
Part Time Finance AdministratorPermanent, Part Time£25,081 per annum, full time equivalentLocation
Recuriter: Essex County Council

Senior Customer Services Adviser (Housing Repairs

Mansfield District Council
£28,598 - £33,699 per annum
Mansfield is a town of towns at the centre of things in Nottinghamshire - a place of many strong connections Mansfield, Nottinghamshire
Recuriter: Mansfield District Council

No Wrong Door Deputy Manager

North Yorkshire Council
From £47,181 up to £51,356 per annum pro rata
We’re looking for a passionate, driven, and dynamic professional to join our management team within our innovative No Wrong Door (NWD) service. Scarborough, North Yorkshire
Recuriter: North Yorkshire Council

Senior Resource Centre Worker

North Yorkshire Council
£34,434 - £38,220 per annum pro rata
You will work closely with families and other professionals to ensure that you have sound knowledge of the children you are caring for Morton on Swale, Northallerton
Recuriter: North Yorkshire Council

Social Worker

North Yorkshire Council
£38,220 - £42,839 per annum, pro rata
Our Family Assessment and Support Teams you will work with a range of children and their families, carers and networks. Selby, North Yorkshire
Recuriter: North Yorkshire Council
Linkedin Banner