Economic forecasts predict that UK families will see a shrinkage in real disposable income over the next two years as energy prices continue to rise and tax payments reach record levels, casting doubt on the promised 'breathing space' for households. The Office for Budget Responsibility has downgraded growth expectations and highlighted the impact of the Iran conflict on energy costs, while think‑tanks warn of a prolonged stagnation in living standards since the pandemic. The report also suggests that the current Parliament could be the worst for living standards since the 1950s.
UK Family Living Standards Set to Decline Amid Rising Energy Costs and Tax Burden
