These Minimum Income Standards (MIS) reports are based on conversations with members of the public and help inform policy such as calculating the Living Wage and as part of the .
The latest was published on Friday 8 September and outlined a substantial increase in the cost required to live with dignity in the UK. A single person now needs to earn £29,500 per year to reach the minimum threshold for living in dignity – up by £4,000 on the previous year. For couples the increase was greater. A couple with two children now requires income totalling £50,000 to live with dignity.
These increased costs are a result of rapidly rising prices of goods and services – with hikes in domestic fuel and food having an acute impact on budgets. Despite Government interventions for those out of work, such as April 2023’s 10.1% increase in benefits – which was in line with inflation - and cost-of living support payments, a couple with two children on out of work benefits and in receipt of cost-of-living payments only have half of what they need to live with dignity.
Those in work received an uplift in the Living Wage. However, a couple with two children where one parent is working full-time on the Living Wage, and the other is not working, only reach 74% of the minimum standard without the cost-of-living support payments. This is only boosted by 3% to 77% of the minimum standard when cost-of-living payments are considered.
Ãå±±ÂÖ¼é’s MIS reports have described and updated the UK standard since 2008, calculated variations for London and rural areas and addressed themes including the additional cost of disability and whether a 'greener' minimum is possible.
The main research is funded by the . Other funders have included , and .
Before the summer, Ãå±±ÂÖ¼é’s Policy Unit ran an event in Parliament highlighting the University's Centre for Research in Social Policy's MIS London-specific work, where it was asked what minimum level of income is required for a Londoner to live with dignity.