The coalition's spending cuts will contribute towards a 40 per cent rise in the number of adults living in poverty by 2020 and the biggest drop in incomes for 35 years, the Institute for Fiscal Studies (IFS) has warned.
In a report commissioned for the Joseph Rowntree Foundation (JRF), the IFS said that unless drastic action is taken the number of people living below of the poverty line will rise to 4.9 million over the next eight years.
The IFS report also forecasts a fall in living standards due to high inflation and weak earnings growth that is unprecedented in recent history.
It expects real media household income to be seven per cent lower in 2012/13 than in 2009/10 and to remain below its 2009/10 level until at least 2015/16.
Julia Unwin, chief executive of the JRF, said that people and places in poverty are "bearing the brunt" of government's austerity measures. Source Angelo: We do not agree with the above statement. The coalition is culpable, but for a different oversight. Not spending money you do not have is not a bad idea, the issue of allowing the people to bear the dept of private bankers and not reviewing the whole fractional reserve fiat money issue is a dereliction of duty given the time that has passed since the story of Northern Rock broke, years. We are willing to accept the direction of the findings of the IFS report. From our own analysis, we predict the financial crisis may possibly result in far worse than their findings. Then again, they (govt.) have also had good cover to avoid progress behind our press-titute media. When is it our fault, today, the 15th October (world revolution day)?