Four in ten children in poverty in Liverpool

The Joseph Rowntree Foundation has published its latest report, using figures up to 2022

Child poverty
Author: Harry BoothPublished 23rd Jan 2024

A major new report is warning that four in ten children in Liverpool are now living in poverty.

The stats - from the Joseph Rowntree Foundation - show more than one point six million people across the North West are living in poverty - with half a million of those children.

The average person in poverty now has an income 29% below the poverty line, up from 23% in the mid-1990s.

The average income of people in very deep poverty is a staggering 59% below the poverty line.

As the general election looms, JRF is calling on political parties to urgently address poverty levels by introducing an 'Essentials Guarantee' in Universal Credit and expanding economic security for all citizens.

"Rocketing use of foodbanks"

Paul Kissack, Group Chief Executive of the Joseph Rowntree Foundation, says:

“It has been almost twenty years and six Prime Ministers since the last prolonged period of falling poverty in the UK. Instead, over the last two decades, we have seen poverty deepen, with more and more families falling further and further below the poverty line.

“Little wonder that the visceral signs of hardship and destitution are all around us – from rocketing use of foodbanks to growing numbers of homeless families. This is social failure at scale. It is a story of both moral and fiscal irresponsibility – an affront to the dignity of those living in hardship, while driving up pressures on public services like the NHS.

“One way politicians can take action in the next parliament is to enshrine in law a guarantee that people will always be able to afford the essentials, such as food and household bills, through our benefits system.

Martin Lewis on UK poverty levels

Martin Lewis, Founder of MoneySavingExpert.com & The Money & Mental Health Policy Institute Charity said:

"I warned at the start of the energy crisis that I was out of tools to help many on the lowest incomes. Now we have hit the stark reality that 100,000s of people in the UK, even after they’ve had professional help from money charities, are still deficit budgeting – so their income is less than their minimum necessary expenditure.

"Definitions of poverty are tricky, especially when based on relative incomes, but that smells like a clear indication the problem is getting worse.

"And let’s be plain, once people are in the deepest mire, it’s not a Money Saving Expert you need, its policy makers and regulators to sit up take note and address these deep rooted problems – which is exactly what I hope they do with this Joseph Rowntree Foundation report highlighting the situation and calling for change."

The foundation is now emphasising the need for politicians to address what it calls the two decades of failure that has led to a deepening poverty crisis.

Government says its committing £104bn to tackle the cost of living

A Government spokesperson said:

"We are continuing to support families with the cost of living backed by £104 billion – and there are 1.7 million fewer people living in absolute poverty, including 400,000 children, compared to 2010.

"Children are five times less likely to experience poverty living in a household where a parent works. That’s why we are investing billions breaking down barriers to work and supporting over one million low-income earners through our In Work Progression offer – all while cutting taxes and curbing inflation so hard-working people have more money in their pocket.”

The UK government has rolled out a £104 billion support package (2022-2025), averaging £3,700 per household.

Measures include benefits linked to inflation, unfreezing Local Housing Allowance, and the Household Support Fund. Cost of Living Payments (up to £900) will assist those on benefits in 2023/24.

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