Sharp rise in young people classed as living in poverty
Sharp rise in young people classed as living in poverty
There has been a sharp rise in young workers living below the breadline. New research has found that 34% of 16-19 year olds now live in poverty - and 29% of 20-24 year olds. These figures are up 6% in the last decade. A study for the Joseph Rowntree Foundation (JRF) blames falling pay, zero-hours contracts and high rents for the rise - with employment no longer the way to end poverty. As many people in working families now live in poverty as in unemployed households. For the first time under 25s are more likely to be living in poverty than pensioners. Once the most likely to be poor, over 65s now have the lowest poverty rate of any age group.
Government has focused its efforts on welfare reform, but tackling poverty needs a wider scope, covering the job market, the costs and security of housing and the quality of services provided to people on low incomes.
Tom MacInnes, New Policy Institute
The report, which used official government data, makes damning reading for workers in Britain despite drops in unemployment. It shows incomes have dropped by 9% on average in the five years to 2013. In real terms, average wages for men working full time have dropped from £13.90 to £12.90 per hour between 2008 and 2013 (from £10.80 to £10.30 for women).Tom MacInnes, of the New Policy Institute, which wrote the report, said: "This report highlights some good news on employment, but earnings and incomes are still lower than five years ago." The study also found a huge change in the labour market, including significant rises in zero-hours contracts, of which there are now 1.4 million.
The truth is, the percentage of people in the UK in relative poverty is at its lowest level since the mid-1980s and the number of households where no-one works is the lowest since records began.