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Households Below Average Income Statistics Release

21 March 2024

Proposing MP
Central Devon
Type
Written Ministerial Statement
Department
Department for Work and Pensions

At a Glance

Issue Summary

The statement discusses the publication of Household Below Average Income (HBAI) statistics for 2022/23 and the impact of inflation on poverty rates.

Action Requested

The government provided a cost of living support package worth £96 billion to help shield households from high inflation, preventing 1.3 million people from falling into absolute poverty in 2022/23. The statement also outlines further measures such as extending the Household Support Fund and increasing benefits and pensions by up to 8.5%. Additionally, local Housing Allowance rates will rise to help low-income households.

Key Facts

  • Inflation averaged 10% in 2022/23.
  • The government's cost of living support prevented 1.3 million people from falling into absolute poverty after housing costs in 2022/23, including 300,000 children, 600,000 working-age adults, and 400,000 pensioners.
  • Median incomes fell slightly between 2021/22 and 2022/23.
  • Absolute poverty rates for pensioners after housing costs remained stable.
  • Benefits will increase by up to 6.7% from April 2024, while Basic and New State Pensions and the Standard Minimum Guarantee in Pension Credit will be uprated by 8.5%.
  • Local Housing Allowance rates will rise to the 30th percentile of local market rents in April 2024, benefiting around 1.6 million low-income households by £800 a year on average.
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