Think Tanks
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JRF on the Autumn Statement - Not enough help for 13 million people living in poverty
Reacting to the Autumn Statement, Julia Unwin, Chief Executive of the Joseph Rowntree Foundation (JRF), said:
“We heard much today about a responsible recovery, but a lot less about a fair one which helps those in greatest need.
“Today’s Statement contained some encouraging economic news. However for the 13 million people living in poverty the measures outlined will not be nearly enough to tackle the rising costs and lower incomes that they face.
“Few of the policies announced today specifically target these families, who have faced a 25% increase in the minimum cost of living since 2008.
“Neither do they fully address the root causes of their hardship, many of which, such as the rising numbers of low paid and insecure jobs, pre-date the recession.
“The £1 billion to unlock stalled housing sites and the decision to increase the amount that local authorities can borrow to build more housing by £300m is warmly welcome. Success will ultimately depend on the terms but both measures should help to spur additional supply.
“Higher housing costs, caused by insufficient supply, push three million more people into poverty and as well as being a source of higher welfare bills. Likewise, our low pay jobs market means tax credits are needed to top up insufficient wage slips.
“We all want to see a lower benefits bill, but doing so in a way which does not address the underlying causes means we risk increasing poverty, not reducing it.”