Poor families are getting poorer and poorer
The UK’s poorest families are only getting poorer as the cost of daily essentials is increasing eight times faster than their wages.
The Trade Union Congress (TUC) living standards index, which tracks the cost of living for different households against weekly earnings, reveals that CPI inflation in March was 4.1% for the poorest 10 percent of households.
The UK’s richest households experienced CPI inflation of 3.3%.
In March, the poorest 10 percent of households in the UK saw the cost of living rise by 4.1%, which is eight times faster than average weekly earnings.
The TUC have said the poorest households are suffering the highest inflation because the cost of household bills and food have risen quicker than headline inflation, and these costs take up a larger proportion of poor incomes.
Brendan Barber, TUC General Secretary, said: “Everyone has been getting poorer month-on-month for the last two years. But poorer families have been hit particularly hard by soaring food costs and utility bills.
The TUC living standard index also showed the poorest households have experienced the sharpest pay fall in over two years as average weekly earnings rose by 0.5% throughout the same time wages dropped in real terms by 3.6%.
Barber continued: “This squeeze on living standards is putting a terrible strain on family incomes and is dragging our economy down too.
“But rather than try to ease the burden, the government is making things worse with growth-choking austerity and attacking basic employment rights that will reduce pay further and make jobs more insecure.
“The government must to do everything in its power to encourage more business investment and decently paid jobs. This is the only way to get the country out of economic depression.”
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