The UK is set for a decent but one-off increase in living standards this year, and a bumper rise for lower-income families. But a fresh energy price shock risks ruining this good news, while the medium-term picture for living standards remains bleak, according to the Resolution Foundation’s overnight analysis of Spring Forecast 2026 published today … Continued

The Office for Budget Responsibility’s (OBR) latest economic outlook has delivered a mixed picture for the Chancellor and the country. The borrowing forecast has improved, but with unemployment higher and the brand new forecast for lower inflation and interest rates already out of date, bold policy action cannot wait until the Autumn Budget, the Resolution … Continued

The number of young people not in education, employment, or training (NEET) increased slightly at the end of last year to reach 957,000. With the UK perilously close to having over one million NEETs for the first time in 13 years, the Chancellor should use the Spring Forecast next Tuesday to take action and prevent … Continued

The new Ofgem price cap of £1,641, effective from 1st April 2026, represents a 7 per cent (£117) fall on current (Q1 2026) levels, bringing a welcome boost to strained household budgets, according to the Resolution Foundation this morning (Wednesday). The main driver of lower prices is the Government’s £6.9 billion energy discount announced at … Continued

On Wednesday, Ofgem is expected to announce that the energy price cap for Q2 2026 will be nearly £120 lower than current levels. This substantial fall has been driven overwhelmingly by the Government’s energy bill discount, which will deploy £6.9 billion of public spending over the next three years to cut one of families’ biggest … Continued

With no big changes expected in the fiscal forecasts on 3rd March, the Government’s priority should be to minimise policy uncertainty and double-down on boosting growth, the Resolution Foundation said today (Thursday). New analysis published by the Foundation today estimates that in the three months since the Budget, news on the economy has been small … Continued

CPI inflation fell in January, dropping by 0.4 percentage points compared with December to reach 3.0 per cent – the largest fall since September 2024 – and should now settle back around the 2 per cent target in the coming months for the first time since before the pandemic, the Resolution Foundation said today (Wednesday). … Continued

GDP growth slowed to a disappointing 0.1 per cent in the last quarter of 2025, continuing the UK’s recent pattern of weak second half performances. And while 2025 as a whole was a decent year for growth, today’s figures show that the Government must double down on its growth agenda to build momentum in 2026, … Continued

Decarbonising British agriculture would increase food prices by less than 1 per cent – the equivalent of around 50p on a weekly shop – but the Government will need to manage the process carefully to preserve a farming sector already in crisis, according to new Resolution Foundation research published today (Tuesday). Green your eats – … Continued

By April, Universal Credit (UC) is finally due to be fully rolled out, thirteen years after its introduction in 2013. With half of all children in the UK (6.5 million) living in families receiving UC, the Government must use this milestone to build trust and improve the system for claimants, according to new proposals published … Continued

UK inflation increased from 3.2 in November to 3.4 per cent in December, keeping the UK at the top of the G7 leaderboard, but big falls are expected from January onwards, the Resolution Foundation said today (Wednesday). CPI inflation expectedly increased in December, driven by tobacco duty, airfares and food. Food prices rose by 4.5 … Continued

Unemployment held steady at 5.1 per cent last month, while real pay packets grew slowly at the end of last year, the Resolution Foundation said today (Tuesday) in response to the latest ONS labour market statistics.  The number of payrolled jobs fell once again in November and December (by 33,000 and 43,000, though the latter is likely to be revised) and has now fallen by 184,000 over the past 12 months. As a result, … Continued

The UK economy has been falling further behind its former peers but could be on the brink of a turnaround, emphasising the need for the Government to ramp up rather than run-down its economic growth strategy, according to major new Resolution Foundation research published today (Monday). As the Chancellor joins other heads of state at … Continued

CPI fell to 3.2 per cent in November, from 3.6 per cent in October, beating market and Bank of England expectations for a smaller fall and all but guaranteeing another interest rate cut from the Bank tomorrow, according to the Resolution Foundation this morning (Wednesday). The 0.4 percentage point fall in CPI exceeded forecasts from … Continued

The UK labour market is ending the year with a whimper, with unemployment hitting 5.1 per cent and real pay packets levelling off, the Resolution Foundation said today (Tuesday). The number of payrolled jobs fell again in October and November (by 22,000 and 38,000) and has now fallen by 171,000 over the past 12 months. As a result, the Foundation’s employment rate estimate has … Continued

The fall in employment over both the past 12 months and the past five years is entirely accounted for by higher unemployment, not rising economic inactivity as many people assume, and young people are bearing the brunt of Britain’s jobs downturn, according to the Resolution Foundation’s latest Labour Market Outlook published today (Monday). Ahead of … Continued

The Government has a once-in-a-generation chance to improve the lives of England’s 1.5 million undervalued care workers through its new Fair Pay Agreement. But to succeed it will need to get it off the ground quickly, start small and give it teeth so that the higher standards it sets are properly enforced, according to new … Continued

Adult Disability Payments (ADP), which were introduced in Scotland in 2022 to replace Personal Independence Payments (PIP), show that it may be possible to implement a claimant-centred and dignified disability benefit system without significantly driving up costs and caseloads, according to new analysis from the Resolution Foundation published today (Monday). Delivering dignity? – funded by … Continued

The package of measures announced in the Government’s Child Poverty Strategy – including the abolition of the two-child limit on benefit support and an expanded Free School Meals offer – will result in child poverty rates falling in 2026-27, the first time in nine years (outside the pandemic), the Resolution Foundation said today (Friday). The … Continued

The announcement that the Government will amend the Employment Rights Bill – reducing the qualifying period for unfair dismissal protection from two years to six months, rather than scrapping altogether for a ‘day one’ right – is a sensible move that will speed up the delivery of improvements to working conditions and reduce the risk … Continued

The Chancellor delivered a far more upbeat Budget than many were expecting, with significant cost of living support and sensible, progressive measures that reduce some of the distortions in the tax system. But it was far from pain-free, with major tax rises and cuts to public services coming down the line, and a look behind … Continued

The Chancellor has moved decisively to ease cost of living pressures with welcome support on energy bills and for larger families. She has also increased her fiscal wiggle room, funded by the expected freeze in income tax thresholds and sensible reforms that help to level the playing field on personal taxes. But this backloaded Budget … Continued

The Energy Price Cap will unexpectedly rise by £3 a year in January, as a rise in the costs of government policies that are added to energy bills cancels out a small fall in the gas prices. This makes clear that more action is needed in the Budget to significantly cut bills, the Resolution Foundation … Continued