The independent Joseph Rowntree Foundation has analysed the impact of the Chancellor’s failure to increase benefits in line with current inflation levels, along with the 1.25% increase in National Insurance and change to the earnings threshold at which it is paid.
As a result, around 600,000 people will be pulled into poverty, of which around a quarter are children.
JRF finds that families in poverty will be £446 per year worse off in 2022-23 compared to if benefits had been uprated in line with current inflation levels.
Households in poverty who are not in work – those who are either job seeking or unable to work due to ill health, disability or caring responsibilities – are particularly harshly affected by the changes.
