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March 2007
Article
Poverty rises for the first time since 1997
Type: IFS Press Releases
Authors: Mike Brewer, Alissa Goodman, Alastair Muriel and Luke Sibieta

Relative poverty has risen across the whole population for the first time since Labour came to power, with child poverty also rising for the first time in six years, according to official statistics released today on the distribution of income in 2005/06.

With the exception of a further fall in pensioner poverty, most measures of income poverty and inequality increased in 2005/06. The rise in poverty will be of particular concern to the Government given the impact of the tight spending squeeze announced in last week's Budget on its ability to pay more generous benefit and tax credit payments.

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