The Joseph Rowntree Trust have just produced their figures for Minimum Income Standard. This is different to the minimum income or minimum wage in that it is what they think we need to earn, not just to get by but to be able to take part in society. That means, apparently, the occasional meal out or trip to the cinema, even swimming or music lessons for the children. Despite the Conservative claiming tax cuts (brought about originally by the LibDems I seem to remember) and the increase in the so called National Living Wage the charity still says we are falling behind.
"Overall, the freeze in benefits, the rise in costs mean that people are just being squeezed more and more"
So what are they suggesting we need to be able to enjoy the society to which we contribute?
Weekly budget requirement (excluding rent and childcare), April 2016
Single Person MIS - £17,900
Dual Earning Couple with two children - £20,400 each
Lone parent with pre-school child - £25,900
Pensioner couple £274.99
The weekly budget for a pensioner couple has increased at a lower rate than for single, working-age adults, rising by 2.8% over the past year. This increase in a minimum household budget has been most clearly driven by the rising price of food (although this remains below overall inflation), leisure goods and services (rising at a similar rate to CPI), and other travel costs (rising more rapidly; for pensioners, the main travel cost is occasional taxis). Between them, increases in these categories account for half of the budget increase between 2016 and 2017.
These figures do not compare to the mimumum income figures of benefits so is this why so many who are working or who have paid for their pensions are feeling they are just scrapping by - not really a part of society?
Refs: Sky news and JRT.