New research from the Resolution Foundation has shown that the average household in Cornwall will see real disposable income fall by £1700 over the next two years – the largest fall on record. 

The Resolution Foundation is an independent think-tank focused on improving living standards for those on low to middle incomes, the Foundation conducts authoritative analytical research and has just released a report 'Putting the 2022 Autumn Statement in context'.

The report says: "Average real household disposable incomes are forecast to fall by 7.1 percent over this year and next – equivalent to £1,700 per household – by which time average incomes will have fallen back to 2014 levels

Jayne Kirkham, Parliamentary candidate for Truro and Falmouth said: "We are going to be an average of £1700 worse off in two years' time but families are already struggling with energy bills, childcare costs, and rising inflation. "

The report also showed the issues we face with a lack of support for rising energy bills: "The level of support in 2023-24 is set to be significantly less than the rise in energy bills that households will have experienced since 2021-22 (bills are forecast to be more than three-times their 2021-22 levels in 2023-24, an increase of £2,300). The new package offsets just 30 percent of this increase in energy bills on average, and just under half (48 percent) for an average household in the lowest-income quintile."

Jayne Kirkham continued to share her concern for the people of Cornwall: "This is the result of 12 years of a Conservative government with austerity and economic mismanagement, followed by 12 weeks of chaos in the summer and the Autumn budget statement with no plan for growth – just measures to make us all poorer. 

"In Cornwall, £1700 per household equates to more than £425 million that will no longer be circulating in our economy, supporting business and jobs. The prospects for our families, businesses, and our young people are worrying." 

"Labour has a solid plan to get Britain's economy working again: abolishing business rates to create a fairer system and a new Green Prosperity Plan to bring down energy costs and secure well-paid jobs for the future." 

You can read the full report from The Resolution Foundation here: Help-today-squeeze-tomorrow.pdf (resolutionfoundation.org)