Poorest have got poorer under Labour while the richest are better off, stark new figures show
New figures show poor have got poorer in UK while the rich are richer
- New figures from Retail Economics indicate that the poorest households in Britain have seen their discretionary income fall by 2.1% since Labour came to power in July 2024.
- Conversely, the most affluent households have experienced a 10.3% rise in their discretionary incomes over the same period, highlighting a growing wealth disparity.
- Prime Minister Sir Keir Starmer has pledged to "wage all-out war" on the high cost of living, making this a central theme of his new year message.
- Starmer plans to address the crisis through measures such as cuts to energy costs, abolishing the two-child benefit cap, and expanding free school meals to lift over half a million children out of poverty.
- The data and Starmer's pledges come amidst political pressure, with Labour trailing in polls and facing criticism from Reform UK and some of its own MPs regarding its handling of the economy.