Analysis and action on living standards
How to put England’s broken housing taxes on firmer foundations
Local Housing Allowance (LHA), which caps how much support is provided through the social security system to low-income private renters, was last relinked to the 30th percentile of rents in April 2024, and has been frozen in cash terms ever since. But private rents have risen considerably since then. A low-income family renting a typical two-bedroom home faces a shortfall of £158 a month, and the gap between average rents at the lower end of the market and the housing support a private renter can receive via the benefit system is set to reach a record high of 23 per cent this October.
The Resolution Foundation is an independent think-tank dedicated to lifting living standards in the UK. We focus particularly on households with low and middle incomes; those on low pay or in precarious work; and those vulnerable to financial shocks.
Taxes have risen a lot since the election with policy measures estimated to add around £70 billion to annual receipts by the end of the decade. So in this spotlight we dig into where this leaves the tax burden facing middle earners.
This report assesses the potential for clean industries to deliver local economic growth by zooming in on two areas with a genuine reason for thinking they can benefit from the transition to green energy: Aberdeen and Grimsby.
The Resolution Foundation calculates the real Living Wage – a voluntary hourly pay rate that is based on what families need to get by. The current national rate is:
Explore our interactive housing indicators or read about our alternative estimate of UK employment.
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Resolution Ventures exists to back innovative start-ups seeking to change the world of work for the better, and early-stage ventures seeking to improve the prospects of low-to-middle income Britain.
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