In-work poverty increases despite high employment

Over half of people in poverty are in a working family according  to a recent report.

Joseph Rowntree Foundation’s state of the nation report on poverty in the UK shows that while employment is at a record high, in-work poverty has also gone up.

Often people’s pay, hours, or both are not enough to keep the family out of poverty.

Seven in ten children in poverty are now in a working family.

Claire Ainsley, Executive Director, Joseph Rowntree Foundation said: “Millions of families care for each other, raise their children and work hard without any guarantee that they will escape poverty – governments, employers and landlords all have a role to play in changing this. It’s not right that so many are unable to build a firm foundation to their lives because their jobs are insecure or they can’t find a home they can afford.”

Andrew Drake, Client Development Director at pensions administration and employee benefits firm Buck, said: “This report makes clear that in-work poverty remains a serious problem in the UK. With so many of those in poverty also working, employers must help staff address these issues and create a sense of sustainability in the workplace.

“There are lots of great things that employers can do to make every pound in their employees’ pockets go further. It might not solve in-work poverty entirely, but it can go a long way.

“The biggest challenge facing businesses is communicating with people in a way that makes them want to engage with these initiatives – helping to make every pound go further is a message that’s likely to get attention given the findings of this report.”