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Living standards, poverty and inequality in the UK: 2012

Institute for Fiscal Studies, June 2012


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Resource information:
Resource IDifs2012
Resource titleLiving standards, poverty and inequality in the UK: 2012
Author(s)Jonathan Cribb, Robert Joyce, David Phillip
Publication/ sourceInstitute for Fiscal Studies
Date publishedJune 2012
Summary text/ abstractHow have household incomes evolved since the onset of the financial crisis? What is the gap between rich and poor? Who was hit hardest by the recession? How many people are there in poverty? Which groups are most likely to face poverty? These questions are fundamental to understanding the living standards available to individuals across the UK. Each year, the government produces statistics about the distribution of income in the UK ('Households Below Average Incomes' or HBAI). The data underlying the HBAI statistics have the potential to provide a wide range of information about poverty, inequality and average incomes. Back in 2002, this showed a picture of robust year-on-year growth in living standards and falling levels of poverty, although inequality was continuing to creep up. Ten years on, the latest report for 2012 covers data up to and including 2010-11. The picture is strikingly different. In the aftermath of the recession, average incomes have fallen by near-record amounts. Inequality has fallen back to levels last seen in the mid-1990s. Relative poverty continues to fall, but only because the poverty line is also falling: the poor have undoubtedly been getting worse off in absolute terms, on average.
Library categoriesAnarchism & Action, Economics, Politics, UK Government
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