RNO  Real News Online is a member of the Agence Presse Européenne Group of online media
    The alternative news medium that only deals with facts...  
Safeguarding freedom so that we may be free from biased media, corrupt representation, factional impositions & unjust settlements ...  
      Home page    About Real News     Right to Reply     Why do we update articles?     Archives   

Inadequate political response to UK poverty

Evidence for this drastic economic policy failure is available in the latest UK Poverty 2026 Report by the Joseph Rowntree Foundation (JRF).

This describes an increasingly desperate state of affairs in the domain of poverty in the United Kingdom.

The JRF defines poverty as insufficient resources (primarily material) to meet minimum needs and participate socially, extending beyond income to include debt, assets, disability-related extra costs, etc. (with reference to the Social Metrics Commission for a broader measure).

This Report provides evidence-based analysis of UK poverty, drawing on official statistics (e.g., Households Below Average Income), surveys, and lived experiences.

The current report covers data up to 2023/24 and documents persistent poverty that is becoming significantly deeper, finding include:
  • Overall poverty affects more than 1 in 5 people (21%) — approximately 14.2 million people in 2023/24.
  • This includes the following breakdown: ~7.9 million working-age adults, 4.5 million children (1 in 3 children, with rises for the third consecutive year), and ~1.9 million pensioners.
  • Child poverty is especially pronounced (43% risk in lone-parent families, higher than other groups).
  • Poverty levels are broadly flat compared to pre-pandemic periods, but this hides problematic trends: minor overall declines often result from falling median incomes (which artificially lowers the relative poverty threshold), while child poverty continues upward.
  • The most concerning development is the sharp increase in very deep poverty, now at record levels.
  • Households with incomes below 40% of the median (after housing costs) of roughly £16,400/year for a couple with two young children.
  • ~6.8 million people (nearly half of all those in poverty) are in this very deep category — the highest number and proportion recorded in over 30 years.
  • This results in widespread inability to afford essentials (food, energy, clothing, warmth, hygiene), contributing to destitution for ~3.8 million people (including 1 million children) in recent periods.
  • Related hardships: High bill arrears (e.g., 44% among low-income non-benefit households), food insecurity, deprivation of basics, and persistent effects on physical/mental health and life opportunities.
  • The report concludes that poverty is deeper and more damaging than at any point in the last 30 years, requiring urgent policy interventions such as bolstered social security, action on low pay, housing costs, and structural barriers.

In response, UK political parties and movements have proposed or reiterated measures, often building on pre-existing policies but amplified post-report. Others have emphasised general improvements in economic performance to end up affecting the poor. There is however, no proposal involving a structural change to ensure that the real incomes or purchasing power of the poor increases without direct transfers as part of welfare.

Sustained autonomous growth in real incomes

All government and political party propositions fail to tackle the poverty problem through means to eliminate poverty but rather pass the issues of an inability for disposable incomes to afford basic essentials over to the welfare or income subsidy initiatives. What is required is a policy of general augmentation in real incomes so asto raise the permanent disposable incomes of the poor into categories of purchasing power no longer necessitating the use of food banks or welfare.

The comparisons are presented in the table below.

A comparison of baseline policy paradigms

The policy environment is dominated by four paradigms which are sed in a mix and match fashion including Keynesianism, Monetarism, Mundel-Laffer supply side economics and Modern Monetary Theory referred to as the K3M grouping. The latest ad most promosing macroeconomic paradigm is from the rising Real Incomes School in the form of Real Incomes Objective Price Performance Policy (RIO3P). RIO3P unlike all other macroeconomic approaches possesses specificiinstruments to augment real incomes cross the board and therefore raises purchasing power of the pound and all disposable incomes providing a foundation for an autonmous elimination of poverty through a sustained growth in real incomes. These macroeconomic policies are compared in termsof their ability to support a sustained autonomous growth in real incomes in the table below.

Please note: a separate article detailing the operation and theory supporting RIO3P will be posted on this medium in the coming week.

A comparison of macroeconomic paradigms in ability to secure suatained autonomous rises in real incomes

Macreconomicmanagement system
Ability to sustain autonomous growth in real incomes and eliminate poverty
Keynesianism
No
Monetarism
No
Mundell-Laffer supply side economics
No
Modern Monetary Theory
No
RIO3P
Yes


A comparison of political grouping propositions and their ability to secure suatained autonomous rises in real incomes

Political Grouping
Key Policy propositions
Sustained autonomous growth in real incomes?
Labour Party (government)Scrapping the two-child benefit limit (lifting 450,000-550,000 children out of poverty by 2029/30); above-inflation increases to Universal Credit (UC) basic rate (£725/year for single parents by 2029/30); Fair Repayment Rate reducing UC deductions cap to 15%; expanded free school meals to all on UC (lifting 100,000 children out of poverty); free breakfast clubs; £39bn Social and Affordable Homes Programme; £1bn Crisis and Resilience Fund; Best Start Family Hubs rollout (£500m); Holiday Activity and Food Programme (£600m); National Living Wage increases to £12.71/hour by April 2026; Warm Homes Discount expansion to 2.7m more households; Child Maintenance Service reforms (lifting 20,000 children out of poverty).
No
Conservative Party (Opposition) Cut welfare spending by £23bn; restrict benefits to British citizens; reduce eligibility for low-level mental health issues; stricter Household Benefit Cap; restrict social housing to British nationals; scrap green subsidies; oppose removing two-child limit; focus on promoting work over welfare expansions.
No
Liberal DemocratsEnd deep poverty within a decade; independent commission for annual UC increases to cover essentials; scrap two-child limit; national living wage hikes; affordable housing expansion; fair funding for special educational needs.
No
Scottish National Party (SNP)Child Poverty Delivery Plan 2026-2031; Scottish Child Payment increases (e.g., £40/week for under-1s from 2027-28); benefit top-ups; housing support; aim to meet statutory targets faster; mitigate UK policies like two-child limit.
No
Green PartyIncreased benefits to stimulate demand; energy cost cuts; rent controls; universal basic income; raise minimum wage to £15/hour; wealth tax (1-2% on high assets); end two-child limit; boost social housing; free school meals for all; oppose welfare cuts for disabled people.
No
Reform UKLift income tax threshold to £20,000 (saving ~£1,500/year for low-paid); conditional abolition of two-child limit (only for full-time working British families); reduce public spending; limit immigration to prioritize Brits in benefits/housing; reinstate two-child cap to fund beer price cuts (e.g., 5p off pints).
No
Advance UK No specific anti-poverty propositions; broad focus on tax cuts, reducing national debt, and limiting welfare dependency; prioritize British citizens in benefits/housing via immigration restrictions.
No
Restore Britain MovementNo explicit anti-poverty propositions; low taxes, small state, slash immigration; protect British culture; empower individual enterprise; mass deportations; support local communities indirectly via economic reforms.
No
Workers' Party of BritainRaise personal tax threshold to £21,200; one-off wealth tax on estates over £10m; boost social housing and guarantee decent homes; benefits/pensions to eliminate child/elderly poverty; retirement at 60; nationalize utilities; free school meals for all children.
No
Cross-party & Major Private/Voluntary Initiatives
Proposition
Autonomous growth?
Joseph Rowntree Foundation (JRF) & Trussell TrustEssentials Guarantee in UC (£120-£205/week minimums, independent review body);
No
Taxpayers Against Poverty: Wealth tax reforms for anti-poverty funding;
No
Disability Rights UK & Rural Services Network Raise national living wage, expand social housing, reduce energy bills;
No
Enact socio-economic duty (cross-party coalition)Minimum Income Guarantee (Scotland-focused, expert group roadmap for income floor)
No
Crisis & Resilience Fund collaboration with local authorities;
No
Better Futures Fund£500m for social outcomes partnerships
No