The Joseph Rowntree Foundation has reported a surge in the number of individuals in the UK facing “very deep poverty,” hitting a record high. According to their findings, poverty levels have intensified, with the average person in this dire situation now living 29% below the poverty line, an increase from 23% in the mid-1990s. The report highlights that 6.8 million people are currently experiencing “very deep poverty,” representing nearly half of all individuals living in poverty and marking the highest level on record.

While Labour’s decision to remove the two-child benefit cap is expected to result in approximately 400,000 fewer children living in poverty this April compared to the previous year, the Joseph Rowntree Foundation cautions that without additional changes, relative poverty levels are likely to remain elevated post-April. The analysis also reveals a resurgence in child poverty, affecting 4.5 million children and increasing for the third consecutive year.

Moreover, the report raises concerns about the rapid spread of hunger, noting that 1.1 million more individuals in poverty are struggling to afford an adequate amount of food compared to two years ago, bringing the total to 3.5 million people.

In another development, reports suggest that the BBC may leverage iPlayer streaming data to identify individuals who have not paid for a TV licence. The current TV licence fee stands at £174.50 annually, mandatory for watching or recording live TV programs on any channel and for viewing content on BBC iPlayer, whether live or on catch-up. Up to 40 million BBC iPlayer accounts could potentially be linked to a database tracking TV licence ownership, creating a system for monitoring compliance.

Additionally, a significant overhaul of the self-assessment tax system is set to impact thousands of workers from April onwards. The introduction of Making Tax Digital (MTD) aims to transition more individuals to a digital tax reporting system, with sole traders and landlords earning over £50,000 annually mandated to adopt MTD-compatible software. The switch to MTD-compatible software is estimated to cost an average of £320 initially, followed by an annual expense of £110. Lower income thresholds for MTD implementation are scheduled to be phased in, with the threshold decreasing to £30,000 in April 2027 and further to £20,000 in April 2028.

Lastly, a recent study by the Centre for Cities has identified the UK towns and cities where disposable income has experienced the fastest growth. The report reveals that living standards have surged by 5.2% in the top-performing locations since 2013, outpacing the national average of 2.4%. Notably, Brighton leads the list with an 8.1% increase in living standards, followed by Worthing at 7.8% and London at 5.8%. These areas have also witnessed robust economic growth and disposable income growth over the past decade.