New research report reveals millions living on shockingly low incomes in the UK.
11.8 million people in the UK say they don’t have enough to live on according to a new report from Christians Against Poverty
Chronically low incomes are devastating the lives of millions of people who don’t have enough income to afford food, essential bills and a safe home to live in. That’s according to the latest report by UK debt advice charity, Christians Against Poverty (CAP).
CAP’s YouGov polling which accompanies the report, shows 11.8 million (22%) of UK adults say they currently have a deficit budget, which is when a person’s income doesn’t cover the cost of the core essentials they need to live on.
Charity’s clients on average are £273 a month short of what they need to be able to cover their basics such as food, energy bills and rent
I was on my own and it was frightening. Knowing that I couldn’t afford to put food on the table. It was terrible knowing that bailiffs could come to my home at any time because I wasn’t able to pay my bills.
Melinda, CAP client
The report highlights that when CAP’s debt coaches go into clients’ homes they find people living in cold properties and with empty fridges. Clients describe sitting in the dark with the lights off and curtains closed, often hiding in terror because they’re afraid of bailiffs knocking at their door demanding money that they don’t have.
The report reveals that almost half (47%) of CAP’s clients have deficit budgets, even after an expert debt advisor has supported them to review their finances, and worked through suggestions to maximise their income and cut out non-essentials.
Living on a deficit budget often has a devastating impact on a person’s health, wellbeing, family life, friendships and even future. Millions are facing what CAP’s client and mum of two, Melinda Grosvenor, faced:
Melinda said: “Over four years I never told anybody how bad the situation was. If my family wanted to do something I would always say no. If there was a birthday meal I’d say ‘I can’t do that’. Because I felt so guilty and so useless I’d always say ‘I’ll stay home’.
“It was always difficult to leave the house because I had no money for bus fare, or to go shopping. It was demeaning not to have enough money to buy food or buy essentials. I didn’t actually feel happy until I had the letter to say I was debt free.”
Melinda is now debt free but is worried about the future: “I’m concerned about gas and electric going up later this year, and I hope they don’t put the bills up too high.”
Christians Against Poverty’s Chief Executive Officer, Stewart McCulloch, said, “This new report shows the brutal reality of living with a deficit budget.
“Our expert debt advisors, alongside local churches we partner with, are continuing to help thousands of people across the UK to become debt free.
“But it’s frustrating for our team when they have the tools to help someone out of debt but the person’s income is so shockingly low that even when the burden of debt is removed they still can’t afford life’s essentials. Therefore despite all the hard work of getting debt free, life remains a constant struggle.”
“Whether it’s caring responsibilities, ill-health or a lack of suitable work opportunities, many people have no or limited options in terms of increasing their income which leaves them trapped in poverty.
“11 million people living lives of hidden desperation is utterly unacceptable. We can’t afford the welfare and health costs of this tragedy. We are all affected by the strains this puts on our society. The time has come to act!”
CAP is asking for urgent action to be taken
Review insufficient incomes: CAP would like to see the Government review the rate of social security and wages to ensure that people receive a protected minimum amount to cover the core essentials.
Greater access to essentials: Steps to be taken to ensure high costs do not lead to people going without the essentials. More support for churches and charities running initiatives that help people in poverty such as social supermarkets, warm spaces, and offering fuel bank vouchers.
More support for people facing unmanageable debt: More funding allocated to ensure FCA-authorised free debt advice is available and accessible for all people facing problem debt.
