The Government cannot afford to ignore poverty in pursuit of growth

Sir Keir Starmer and Rachel have ordered Cabinet colleagues to ditch policies which could stand in the way of efforts to grow the economy with the PM saying the Government’s “growth mission” was now the driving force behind policy decisions.

But the JRF found that a stronger economy is likely to make little difference to the poorest UK households unless there is targeted support to tackle poverty.

When this is taken into account, it becomes clear as to why there is so much apathy towards politicians in parts of this country.

It also goes to explain why there are so many who remain sceptical about trickle down economics.

While analysis of Office for Budget Responsibility and Bank of England forecasts shows levels of poverty and deep poverty will remain “broadly” flat for the next four years “without additional action from the Government”, according to the JRF, many of these people cannot afford to wait for economic growth to improve their situation.

The Government finds itself in an invidious position. Charities such as the JRF are calling on it to scrap the two-child limit on benefits. But then it needs to display that it is a steady hand on the economy.

Long-term it is clear that a resilient, healthy economy is key to ensuring the most vulnerable in society have a safety net. Whether it is schools, hospitals or council services, they are reliant on a buoyant economy. But the Government cannot sideline addressing poverty in favour of growth with Yorkshire one of five regions possibly seeing a rise in poverty, according to JRF’s modelling.