Low income families squeezed hard by rising inflation

The government’s austerity measures and rising inflation are eating into the budgets of low income families, according to the charity Family Action. The report shows that among families helped by the charity, fuel and food costs were placing family budgets under intense pressure, leaving nothing for parents to save for their children’s future, or for fun activities other children could enjoy such as a school disco.

  • High fuel and food costs are forcing parents to cut back on fresh fruit and vegetables, meat and cheese with some families spending less than £2 per person per day on food.
  • Children are missing out on replacements for outgrown clothes and fun family activities as parents struggle to balance the family books.
  • Expensive, scarce childcare and high transport costs, coupled with a lack of jobs, often meant parents were unable to boost their incomes by working, or found that their wages were swallowed up by in-work costs.
  • A snapshot analysis of the finances of 24 disadvantaged, out-of-work and low income families who applied to our welfare grants service for help with an essential household need shows that all except three were in fuel poverty.

The report, Breaking the Bank: Family Fortunes, The Impact of Austerity on Family Life, can be seen on the Family Action website.