People are facing a “painful” and “depressing” few years ahead, economic think tanks have warned, after forecasts showed growth in living standards grinding almost to a halt.<\/p>\n
Typical working-age households would see their disposable income fall by \u00a31,050, or 3%, between now and 2029, according to the Resolution Foundation, while the Institute for Fiscal Studies (IFS) said the current decade would be the worst for household income growth on record.<\/p>\n
Chancellor John Healey said his Budget offered “breathing space”, but said the government could “never remove completely” cost of living pressures.<\/p>\n
The UK’s official forecaster said its latest economic forecast painted a “pretty grim picture”.<\/p>\n
The Office for Budget Responsibility (OBR), blamed the difficult financial situation facing the UK on higher borrowing costs and inflation caused by the US-Iran war.<\/p>\n
In response to rising energy prices, Healey has announced measures, including a \u00a3100 support payment, aimed at easing pressure on household finances.<\/p>\n
But that would not be enough to offset the impact of higher energy bills, the Resolution Foundation said.<\/p>\n
“This parliament is increasingly looking like one of two halves,” said the think tank’s chief executive, Ruth Curtice.<\/p>\n
“The first half has been marked by rising living standards, solid economic growth and extra funding for public services,” she said.<\/p>\n
However, the second half of the parliament would be “tough going”, she said.<\/p>\n","protected":false},"excerpt":{"rendered":"People are facing a “painful” and “depressing” few years ahead, economic think tanks have warned, after forecasts showed…\n","protected":false},"author":2,"featured_media":817670,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[84,1294,56,54,55],"class_list":["post-817669","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-uk","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/817669","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=817669"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/817669\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/817670"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=817669"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=817669"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=817669"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}