As announced in this year’s Budget, it is undoubtedly good news that the economy is continuing to recover and that the employment rate is on the rise.
However, this will be little comfort for the millions who are struggling to meet the rising cost of living and will continue to be squeezed by the further cuts planned.
Whilst it is promising that employment levels are increasing and over one million more jobs are forecast over the next five years, for many, work is not paying enough to keep up with rocketing housing, energy and food costs. Equally concerning is that this rise in employment is being boosted by increasing numbers having to take on low-paying part-time jobs or even face the instability of self-employment.
As a result, there are now more than six million people living below the poverty line in the UK who are from working households. Sadly, the boost for savers announced in the Budget is likely to be out of reach for those people still struggling in poverty to cover the costs of everyday essentials.
Many of those people in low paid work rely on benefits to top up their income, so the cap on welfare spending will no doubt be of concern. With Housing Benefit, tax credits, disability benefits and pensioner benefits included in the cap, more needs to be done so that the most vulnerable do not become trapped in poverty.
We know from speaking to the people we help that the pressure on finances is greater than ever, especially as over half are struggling to survive on household incomes of less than £10,000.
Anyone who is worried about their situation today can use our free tools and information at www.turn2us.org.uk to see if they can access any financial help.
We want to see everyone able to benefit from this recovery and build a stable future.