From the TUC

Unhappy families: Big hits in living standards for typical households

09 Sep 2011, by in Economics

Wages failing to keep up with inflation, tax and benefit changes and cuts in public services all combined are going to dramatically reduce the living standards of many British families by 2013, according to our latest research.

In Unhappy Families, the first analysis of this ‘living standards gap’, we’ve looked at the effect on four typical British families, and found their living standards are set to be hit by between 6% and 10%. Have a look at the headline results we’ve found for our families:

Living standards have fallen more than at any time since the 1970s. The wrong people are now set to pay the price for what went wrong over thirty years, coupled with the coalition’s naive belief that a programme of cuts can put right the damage in just four years.

NOTE: Download the full report for more detail on the findings and methodology.

5 Responses to Unhappy families: Big hits in living standards for typical households

  1. Glenn Hanson
    Sep 10th 2011, 11:53 am

    There is no doubt that families are under much pressure financially.

    However what does frustrate me is that employers could find low-cost benefits to help ease the burden. We could provide a discount scheme to a group of employees of say 400 for less than 0.04% of the wage bill based on average salary, but in turn it coul give the average family around £1000 of tax free savings in their everyday living costs. That is like getting a 4% tax free salary increase.

    Councils that decided they needed to terminate employee contracts and re-hire at a lower rate of pay could easily have done something on these lines to help their employees and given them membership of Distinct Advantage Club

  2. Are falling living standards inevitable? | ToUChstone blog: A public policy blog from the TUC
    Sep 12th 2011, 9:26 am

    […] fall in median net household income in the year to April, the largest drop since 1981.  As our own research showed last week, for an average household the living standards gap is likely to be equivalent to a […]

  3. Is the fall in our living standards inevitable? No | Liberal Conspiracy
    Sep 12th 2011, 1:38 pm

    […] an average household the living standards gap is likely to be equivalent to a loss of £4,600 a year by […]

  4. Another economic crisis looms, but can the Tories still smell a majority in 2015? | boydpolitics
    Nov 1st 2011, 11:34 am

    […] Things haven’t got any better since the onset of austerity. They’ve got worse. A global crisis may well be looming, but the UK has still grown more slowly in the last year than every other EU country apart from Portugal and Romania. After the starkest fall in household incomes since 1981 this April, living standards are set to sink a further 6-10% by 2013. […]

  5. Another economic crisis looms, but can the Tories still smell a majority in 2015? « boydpolitics
    Nov 1st 2011, 12:09 pm

    […] Things haven’t got any better since the onset of austerity. They’ve got worse. A global crisis may well be looming, but the UK has still grown more slowly in the last year than every other EU country apart from Portugal and Romania. After the starkest fall in household incomes since 1981 this April, living standards are set to sink a further 6-10% by 2013. […]