‘Just managing’ families at risk
Million people now live below what’s considered an adequate standard
My boiler is on the blink but I can’t find the money to replace it
HELEN FISHER ONLY HAS CASH FOR ESSENTIALS MILLIONS of families who are “just about managing” are on the brink of poverty, a report warns.
The number of people with a below-adequate standard of living has increased by four million to 19 million over the past six years, the Joseph Rowntree Foundation said.
This has been driven by living costs rising as incomes have stagnated, research found.
The price of a minimum basket of goods and services that are needed by a family to survive has jumped by up to 30% since 2008, but average earnings have only gone up by half that amount, the report said.
And record employment levels have not been enough to help families reach a so-called minimum income standard, calculated by the Centre for Research in Social Policy at Loughborough University.
JRF chief executive Campbell Robb said: “These stark figures show just how precarious life can be for many families.
“Government must remember that just about managing today can become poverty tomorrow. This could be a very difficult time for just-managing families, as rising inflation begins to bite into finely balanced budgets.
“If the cost of food, energy and housing rise further, we need to take action to ease the strain.”
He added: “The Government can help in next month’s Budget by allowing families to keep more of their earnings and ensuring benefits and tax credits keep up with the rising cost of living.”
Matt Padley, one of the report’s authors, echoed the warning. He said: “Our report has shown a steady growth in the numbers of people with too little income.
“Unfortunately, the conditions to the end of the decade still look unfavourable for these groups.
“With forecasts of rising inflation, slowing wage growth combined with cuts to tax credits, the outlook is set to be highly challenging for families whose low incomes mean they are, at best, only just managing to make ends meet.”