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Tax, benefits and household income

Household incomes and consumption patterns provide a lens on day-to-day living standards. We explore these measures here, with a specific focus on how changes to the tax and benefit system are affecting them, and the experience of poverty for different generations over the life course.

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Contents

Dependency

The ratio of children and people of pension age (when we typically take out more from the welfare state in benefits and services than we contribute in taxes) to people of working age (when we typically pay in more than we take out), has important implications for the funding of the welfare state, and which cohorts bear the greatest responsibility for this. This section shows this ‘dependency ratio’ over time.

Dependency ratio

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Source

RF analysis of ONS, 2016-based mid-year population estimates; ONS, 2016-based population projections

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