‘Very deep poverty’ in Britain hits worst level in 30 years, report says

South China Morning PostCenter-RightEN 1 min read 100% complete by ReutersJanuary 27, 2026 at 05:06 AM

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A recent report by the Joseph Rowntree Foundation reveals that "very deep poverty" in Britain has reached a 30-year high, affecting approximately 6.8 million people. This is defined as households with an after-housing-costs income below 40% of the UK median. While the overall poverty rate has slightly decreased since the mid-1990s, the proportion of people in "very deep poverty" has increased and now accounts for almost half of the total poverty population. Child poverty has also risen for the third consecutive year, with 4.5 million children affected. In response, Finance Minister Rachel Reeves plans to scrap a two-child limit on welfare payments in April, a policy introduced in 2017 that restricted benefits for larger low-income families. The change aims to reduce child poverty by increasing benefits.

Key Entities & Roles

Key Player Opposition Context

Conservative government 40% UK 50% Rachel Reeves 60% Joseph Rowntree Foundation 70% Britain ×290%

Keywords

poverty 100% very deep poverty 90% child poverty 80% uk 70% welfare payments 60% joseph rowntree foundation 50% low-income families 50% income inequality 40%