UK rise in poverty due to perverse effect of 'trapping thousands of families on benefits' along with economy shrinking 7%

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10/11/11, "UK seeing 'a big rise in poverty', says IFS, (Institute for Fiscal Studies)" BBC

"The report also issues a stark warning of tough times for people in the so-called "squeezed middle" - with median incomes falling by 7%, after inflation has been taken into account,

• the sharpest drop in 35 years....

"We're tried to do the things that help but you can't ignore the basic rules of economics that when you inherent a situation where the economy has shrunk by 7% there isn't the money there." ...

""Over the last decade billions of pounds have been moved around the tax and benefit system in an attempt to address poverty. This has had the perverse effect of trapping thousands of families on benefits while income inequality increased to its highest ever level.""...


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