More than half of those in the UK who are living below the poverty line live in a household with at least one adult in work
Finding a job is no longer a reliable route out of poverty, a new report has suggested.
The Joseph Rowntree Foundation’s (JRF) annual state of the nation report Monitoring Poverty and Social Exclusion shows that despite unemployment falling, 13 million people are living in poverty – the same figure as a decade ago.
The report, written by the New Policy Institute (NPI), shows that more than half of those (51%) in the UK who are living below the poverty line live in a household with at least one adult in work.
The proportion of households with no working adult is now at its lowest level since comparable records began, with only 16% of working-age households having no adult in work.
We need to see the same commitment to tackling the drivers of poverty among younger people, including low pay, unaffordable housing and difficulties entering into and progressing at work
Young people are particularly affected by poverty, the report explains.
Of those aged 16-24, 16% are unemployed compared to just 4% of the working age population as whole.
There are 1.7 million people aged 16-24 living in poverty, 300,000 less than those aged over 65.
While there are 600,000 less over 65s living in poverty than there was a decade ago, the number of 16-24 year olds living in poverty has increased by 400,000 in the same timeframe.
The JRF’s chief executive Julia Unwin said there has been a fundamental shift in the causes of poverty and in which groups are at greatest risk.
A lack of well-paid jobs, genuinely affordable homes and opportunities to get on at work or in education is making it harder for people to build a secure future, she said.
“The next generation is being condemned to a worse set of circumstances in which to live, work and raise a family,” she added.
“This year’s report reveals that a large proportion of young people are being locked out of the opportunities they need to build a secure future - a secure home, a job that pays the bills and the chance to get on in life.
“A welcome fall in the number of pensioners living in poverty, thanks partly to direct action from the government, shows that this is a problem which can be solved.”
There are now 53,000 homeless households in the UK, 13,000 more than five years ago.
The report’s authors suggest this growth is due to families being unable to find a suitable new home when they reach the end of their tenancies in the private rented sector.
They say the proportion of people living in poverty who live in the more expensive private rented sector has nearly doubled over the last 10 years to 4.2 million.
Tom MacInnes, co-author of the report, said: “While the labour market has been strong, the housing market is an increasing source of problems – rising homelessness, rising evictions, increasing numbers of families housed in temporary accommodation.
“Most of these problems emanate from the private rented sector, where a growing number of people in poverty, including over 1 million children, now live.
“This is the sharp end of the housing crisis. Increasing the supply of secure, affordable homes across all tenures, is essential to eliminating poverty in the UK”.
To reduce poverty sustainably and over the long term, the JRF has called for an increase to the number of affordable homes and strengthened rights for people living in the private rented sector.
Increases to the national minimum wage for under 25s should mirror rises in the national living wage, it added, and unemployed people need to be offered better financial and career support.
It also suggest placing the best teachers in the most deprived schools to tackle the attainment gap between rich and poor.
Unwin added: “We need to see the same commitment to tackling the drivers of poverty among younger people, including low pay, unaffordable housing and difficulties entering into and progressing at work.
“There is an important role for businesses, employers, and local leaders, who must to work together if we are to eradicate poverty once and for all.”
