Almost 25% of children in key worker households in the East living in poverty

Around a million key worker children are in poverty in the UK according to TUC

Housing estate
Author: Abi SimpsonPublished 5th Aug 2022
Last updated 5th Aug 2022

It's feared almost a quarter of households in the East where adults are classed as 'key' workers, have children living in poverty.

New research shows nationally it's around one in five 'key' worker households.

The TUC conducted a study where they found an increase in the number of children growing up in poverty within key worker households. This figure has increased by 65,000 over the past two years to nearly one million nationally.

The study indicated that in some regions of the UK more than two-fifths of children in key worker households are living in poverty.

Key worker families in the North East have the highest rate of child poverty (41%) followed by the North West and London (both 29%), and the East of England (24%), while Scotland (8.3%) and Wales (8.9%) have the lowest rates, said the TUC.

The union organisation warned that another year of below-inflation pay rises for public sector workers will have a "devastating" impact on frontline staff after a "brutal decade" of pay freezes and cuts.

The TUC said its research indicates that real pay for nurses will be down by £1,100 this year and by more than £1,500 for paramedics.

TUC say Government is locking too many key worker households into poverty

TUC general secretary Frances O'Grady said: "Our amazing key workers got us through the pandemic. The very least they deserve is to be able to provide for their families, but the Government is locking too many key worker households into poverty."

"Ministers' heartless decision to hold down pay will cause widespread hardship and put the UK at greater risk of recession."

"After the longest wage squeeze in 200 years, we urgently need to get more money in the pockets of working families."

"This will help people get through this cost-of-living crisis and inject much-needed demand into our economy."

"It is particularly galling that, as key workers are being told to tighten their belts, City executives are enjoying bumper bonuses."

"Once again ordinary working people are being forced to carry the can for a crisis made in Downing Street."

Sara Ogilvie, policy director at the Child Poverty Action Group, said: "These disastrous figures show the growing grip of in-work poverty on households across Britain."

"It's an outrage that key workers, whose essential labour keeps our hospitals, schools and supermarkets running, are increasingly being pulled into hardship."

"Children are growing up in poverty as a direct result of cruel policy decisions, including harsh benefit rules like the two-child limit."

"With the cost-of-living crisis in full swing, the Government can no longer turn its back on low-income families and must address the long-term drivers of poverty in the UK."

More on the cost of living:

Interest rates and inflation go up

Inflation rose by 8.8% in the 12 months to January 2023, down from 9.2% in December 2022. With interest rates also rising to 4%, those saving money will earn more interest on their finances, whilst those paying mortgages would pay more interest to the bank.

Energy bills

The price of energy went up incredibly as the cost of living crisis hit, with the gas price spike caused largely by the war in Ukraine. The price cap - which is set by an independent regulator to help offset costs onto customers - was set to rise to £3,549 for an average home in October but a price freeze from the government restricted the typical bill to £2,500. That's still an increase of 27% from the previous energy cap and as it's a cap on unit cost, the more energy you use the higher your bill will be.

Food prices

The cost of a weekly shop also has gone up as a result of the cost of living crisis. As a result of the war in Ukraine, a number of products including cooking oils and wheat have been disrupted. This means that several products are now considerably more expensive, driving bills up for customers.

Prices at the pumps

The average cost of petrol has also rose to unprecedented levels. Supply lines for petrol have been thrown into doubt as a result of the war in Ukraine, as Russia is a large export partner for gas, oil and fuel. In April 2022, the average price for a litre of petrol on the forecourt was 160.2p, whilst a litre of diesel would cost 170.5p. By late June 2022 the price had risen to an average of 190.9p for a litre of unleaded and 198.9p for a litre of diesel. In March 2023 the price wass on average of 147.03 in petrol and 167.04 in diesel.

Average cost of filling up a car with petrol hits £100

On 9th June 2022, the average cost of filling up a car with petrol hit £100 for the first time ever. Diesel had already hit that milestone. It comes as the cost of fuel hit a record high of one pound eighty a litre. The 2p rise was the biggest daily jump in 17 years. Prices have dropped by at least 20p per litre since the high point.

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