Families to be worse off in 2030, report warns

The average family will see a decline in living standards over the next few years, a new report has warned.

According to the Joseph Rowntree Foundation, households in the UK will be £1,400 worse off on average by April 2030.

That’s a fall of 3%.

Figures also showed that households on the lowest incomes will be £900 a year worse off by 2030 - a fall of 6%.

The report puts this down to several factors, including:

• rising mortgages and rental costs
• falling real earnings
• frozen tax thresholds

If the predictions are accurate, it would mean the government will miss one of its key election pledges - to improve living standards during this parliament.

Government insists living standards are rising

Chancellor Rachel Reeves has rejected the report’s findings, insisting that there’s been a “sustained increase” in living standards since the general election.

Speaking to Sky News at the weekend, she said: “I’m confident that that we will see living standards increase during the course of this parliament.”

However, Ms Reeves acknowledged that more still needs to be done.

What help is available?

If you’re struggling to make ends meet and worried about upcoming price rises, then now is the time to act.

We’ve also got plenty of useful online resources, including:

• a handy guide full of practical, day-to-day money saving tips
• regular updates on the latest deals, offers and promotions
• information on where to turn for help
• a benefits calculator, so you can see what state support you’re entitled to
• a budget calculator