Cookies on the Attwoods website

We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on the Attwoods website.

Open

Latest news

Explore insightful perspectives and expert advice on finance

Home |Latest news |UK facing 'deepest squeeze on living standards in a century'

Latest news

Browse by category
Business News

UK facing 'deepest squeeze on living standards in a century'

September 02 2022

Real household disposable incomes in the UK are on course to fall by 10% over this year and next, representing the deepest living standards squeeze in a century, according to the Resolution Foundation.

A report published by the think tank notes that Britain faces a bleak winter for living standards, with soaring energy bills behind the Bank of England (BoE) forecasting inflation to peak at 13%.

The outlook has worsened since the BoE's forecast in August, with Citi projecting an inflation peak of 18%, it added.

According to the report, without further significant interventions from the government, real household disposable incomes could fall by 5% this year. Although inflation will ease in the following year, typical incomes are set to fall by a further 6%.

This 10% income fall over two years – equivalent to £3,000 for the typical UK household – would be the deepest living standards squeeze in a century, it added.

Lalitha Try, Researcher at the Resolution Foundation, said: 'Britain is already experiencing the biggest fall in real pay since 1977, and a tough winter looms as energy bills hit £500 a month. With high inflation likely to stay with us for much of next year, the outlook for living standards is frankly terrifying.

'No responsible government could accept such an outlook, so radical policy action is required to address it. We are going to need an energy support package worth tens of billions of pounds, coupled with increasing benefits next year by October's inflation rate.'

Here to help

Please complete the form below and our expert team will be in touch.

  • Contact details

    • *
    • *

  • What services are you interested in?

    • *

  • Message

    • *

  • Which location would you like to contact?

  • Communication

    • *Indicates a required fields.†At least one form of contact is required.

      By submitting this form, you agree that Attwoods can process your information in order to respond to your enquiry. For more information visit our Privacy Policy.

Bromsgrove
Bromsgrove

Attwoods is proudly based in the historic market town of Bromsgrove, Worcestershire

  • 182 Worcester Road
  • Bromsgrove
  • Worcestershire
  • B61 7AZ
Call us01527 874170
Learn more about BromsgroveGet in touch
Evesham
Evesham

Attwoods is proudly based in the picturesque town of Evesham, Worcestershire; nestled in the heart of the Vale of Evesham

  • 90-92 High Street
  • Evesham
  • Worcestershire
  • WR11 4EU
Call us01386 424388
Learn more about EveshamGet in touch
Pershore
Pershore

Attwoods is proudly based in the Georgian market town of Pershore, Worcestershire.

  • Perrott House
  • 17 Bridge Street
  • Pershore
  • Worcestershire
  • WR10 1AJ
Call us01386 554870
Learn more about PershoreGet in touch
  • Xero Logo
  • Gold Partner Logo
  • Sage
  • QuickBooks Platinum

The practices of Attwoods are carried on by Attwoods Accountants Limited, Attwoods Business Services Limited, Attwoods (Bromsgrove) Limited. Regulated for a range of investment business activities by the Association of Chartered Certified Accountants.