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ITV News
10-06-2025
- Business
- ITV News
Wales' poverty crisis deepening as more than 1 in 5 living in hardship, new report reveals
Poverty in Wales is deepening, according to a new report from the Joseph Rowntree Foundation (JRF) and the Bevan Foundation. The study also claims there has been little progress in reducing poverty in Wales over the past 20 years, with poverty rates remaining at around 21–22%. According to the 'Poverty in Wales' report, published on Tuesday, more than 1 in 5 people in Wales (22%) – which is around 700,000 people – are living in poverty. Of these, 400,000 are working-age adults (21%), 200,000 are children (31%) and 100,000 are pensioners (16%). The report warns that if no action is taken, child poverty in Wales could reach 34% by 2029-30, which would make it the highest rate of all UK nations. The highest child poverty rates by local authority are Blaenau Gwent (34%), Merthyr Tydfil, Ceredigion and Newport (32%), and the Isle of Anglesey and Pembrokeshire (31%). The Welsh Government says it is determined to do all it can to prevent people from going into poverty and to help those who need support the most. The findings also reveal that nearly half a million people in Wales lived in deep poverty in 2020-23, with 310,000 in very deep poverty. Households below 50% of the median household income are defined as living in deep poverty and those living below 40% are defined as being in very deep poverty. Dr Victoria Winckler, Director at the Bevan Foundation, said: "It is shocking that there has been no progress reducing poverty in Wales in the last twenty years. "Even worse, more people are in deep poverty than ever before, forced to use food banks, unable to heat their homes, watching every penny. 'The report shows that the root causes are many years of cuts to social security coupled with a severe shortage of decent jobs and affordable housing. The steps taken by the Welsh Government to alleviate poverty are welcome, but there is much more to do. 'As political parties gear up for the next Senedd election, we urge them to commit to practical, deliverable action to end poverty." Chris Birt, JRF Associate Director for Scotland, Wales, and Northern Ireland said: "Deepening poverty and a child poverty rate of almost one in three in Wales should be a stark wake up call to both the UK Government and all parties aspiring to form the next Welsh Government. "The Senedd has significant powers that contribute to improving people in Wales's standard of living. Driving down costs, better connecting communities, providing affordable housing and breaking down barriers to employment are all things they can do to reduce poverty. 'But the scale of the challenge needs to be met by the scale of the response. The same is of course true of the UK Government. The threadbare social security system is their responsibility, and it drives much hardship. A good place to start reversing that would be casting the two-child limit into history as quickly as possible. 'There is much work to be done by both the Welsh and UK Governments, but the prize is a Wales where people are able to explore their potential and be free from hardship – something that is miles from reality for far too many people today.' In response to the report, the Welsh Government says it recognises that it is a "challenging time" for many children, families and communities in Wales, and is determined to do all it can to prevent people from going into poverty and help those who need support the most. A Welsh Government spokesperson said: "Our commitment is backed by substantial investment of nearly £7bn between 2022-2026 to reduce costs and maximise incomes for Welsh families. "Our child poverty strategy sets out how we will use the levers we have to deliver against our ambitious objectives to support families most in need. "We will continue to call for positive changes in social security policy to tackle child poverty, particularly seeking a commitment to end the two child benefit rule."
South Wales Argus
10-06-2025
- Business
- South Wales Argus
How has the Heads of the Valleys road helped communities?
The Bevan Foundation and the Taxpayers Alliance have come to radically different conclusions on the project. Work concluded in May this year, at an official cost of £1.4bn. The road's dualling of the A465 section was conducted by Welsh Government and cost some £500 million. The complex project ran over budget. The ambitious sections between Gilwern and Brynmawr, running through the deep Clydach Gorge, delayed the project by three years and inflated costs by nearly£150 million. Welsh Think tank The Bevan Foundation, attempting to make sense of the Welsh Government's brake on road building and squaring it with the costs of the mega-investment, concluded the road means yet more investment across the whole area, which is essential to upskill the population and drive growth. In its report, the foundation concluded that much of the poor land and poor built environment needed upgrading, training and skills needs to be led by the Welsh Government and local authorities. By just building a road that has few users in a deindustrialised area, the whole region could be stuck in what economists call the Middle-Income Trap, where countries just reassemble complex goods and add little value and create few high-skilled jobs. Meanwhile, the Taxpayers' Alliance questioned the Welsh Government's whole 'muddled' approach to transport and development. Thay argue it isn't even whether the road cost £1.4 billion or £2 billion, due to a 'dissembling bureaucracy.' They warn Wales needs to learn lessons or it will become saddled with a series of 'sunk cost fallacies.' A spokesman for the group said: "While Welsh taxpayers will be relieved to see roadworks finally completed, they will be aghast at enormous costs and absurd time it has taken to get the project over the line.' Mocking the outcome of a 50mph road after 23 years and a fortune spent, the group said: "Twenty three years and billions spent - upgrading a single stretch of road while essential infrastructure maintenance in other parts of Wales has been ignored! "Ministers in Cardiff need to get their act together and ensure that future projects are kept on time and within budget!" Welsh Government was approached for a comment. They said they will unveil their vision for development of the area surrounding the road network on Thursday, June 12. The Bevan Foundation's report is called A Route to Prosperity.
Scotsman
26-05-2025
- Business
- Scotsman
Readers' Letters: Labour reforms will only harm disabled people's work prospects
The UK Government's plan to slash disability benefits is just wrong, says reader Sign up to our daily newsletter – Regular news stories and round-ups from around Scotland direct to your inbox Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... Last Wednesday Work and Pensions Secretary Liz Kendall insisted the massive cuts to disability benefits she was planning would improve people's lives and get more into work. One of the purposes of the Personal Independence Payment (PiP) which will be affected by the cuts is to help finance the purchase of mobility aids such as wheelchairs and crutches, without which some disabled people would not be able to get into their jobs. It is surely absurd to maintain that slashing this 'lifeline' benefit will improve disabled people's employment prospects! Advertisement Hide Ad Advertisement Hide Ad I wonder if Ms Kendall has had an opportunity to study the recently published report by data experts Policy In Practice and think tank the Bevan Foundation on the likely impact of Labour's planned overhaul of disability benefits and universal credit in Wales? The bottom line is that an estimated £470 million is likely to be 'sucked out' of the Welsh economy and poverty rates in affected households could more than triple (from 24.5 to 78.4 per cent). Liz Kendall MP, Secretary of State for Work and Pensions, has said welfare changes are 'never easy and rarely popular' (Picture:) Dr Steffan Evans of the Bevan Foundation said: 'it is clear that the UK Government's proposed reforms to the benefits system will have a particularly severe impact on poverty in Wales, making life harder for thousands of disabled people.' It is difficult to view Liz Kendall's cuts as anything other than one more austerity measure. How many Labour MPs will have the courage and compassion to vote against them? Alan Woodcock, Dundee Big deal? As details of the UK-EU trade deal become clearer, the UK Government, even by its own admission, has highlighted that the economic gains resulting from it will be marginal. Advertisement Hide Ad Advertisement Hide Ad At a recent meeting of G7 finance ministers in Canada, Chancellor Rachel Reeves claimed the deal would add nearly £9 billion to the UK economy by 2040 and boost trade with the EU as Britain's single biggest trading partner. The UK Government estimates that material changes in areas covered, such as fisheries, food and energy, will increase GDP by 0.2 per cent by 2040. Contrasting with this, the Office for Budget Responsibility estimates Brexit will reduce the UK's long-term GDP by approximately 4 per cent compared to remaining in the EU. The deal shows the UK clearly moving towards a relationship with the EU that is the worst of both worlds, formally sovereign, yet locked in ongoing negotiations and deeply enmeshed in EU frameworks across the entire economy. Moreover, these conditions also mean the UK can't strike a trade deal with the US involving food and agriculture unless there is no trans-shipment of goods, or unless the EU signs a trade deal with the US that solves this issue. Trade deals with the likes of India, US and EU simply limit the immense economic damage of Brexit to the UK economy, rather than bringing any benefits. Alex Orr, Edinburgh Reject zonal pricing We all want lower energy bills in Scotland, but zonal pricing – as advocated by Greg Jackson (Perspective, 23 May) – is no magic solution. On the contrary, it risks causing irreparable harm to the country's economy, growth and jobs. Independent experts warn that zonal will increase bills. Advertisement Hide Ad Advertisement Hide Ad The UK's national pricing system ensures all consumers, regardless of location, pay the same wholesale price. This protects remote communities – like the Highlands and Islands – from disproportionately volatile costs due to their distance from demand centres. Zonal pricing would undermine this fairness. A survey by Fairer Energy Future found only 18 per cent of consumers support zonal pricing, while over 60 per cent believe it would lead to higher bills in many areas. The public sees the risk: a postcode lottery where your bill depends not on usage, but on where you live. If voters wanted regional price differences, the current system could be adapted without the disruption zonal pricing would bring. Ofgem previously blocked changes to transmission charges, which could save the taxpayer billions, and those rules could be reversed. Examples promoted by pro-zonal proponents are not success stories – they are a warning for the Government. In Norway, zonal pricing led to Oslo customers paying up to ten times more than those in the north. This disparity contributed to the government's collapse in 2025. The new administration quickly introduced a national capped price option to restore fairness. In Sweden, zonal price gaps have widened fivefold since 2020. Around Stockholm, customers faced volatile, elevated prices. In 2024, a 30 per cent zonal premium hit southern Sweden. When zonal markets go out of balance, they do so quickly – with sharp, unpredictable spikes in high-demand areas. Advertisement Hide Ad Advertisement Hide Ad The reality is stark: £30 billion in renewable investment and 8,000 Scottish jobs are at risk if zonal pricing is introduced. It would also derail Labour's ambitions for green jobs in Scotland, where floating wind represents a major growth opportunity. Instead of breaking the system apart, we should modernise it with practical, fairer and greener steps – getting us to clean power by 2030 without the risks zonal pricing brings. Graham Pannell, Fairer Energy Future Unfair to islands 'What went wrong with Calmac under the SNP?' It's a fair question for a non-Scot to ask! I grew up in Ireland with the Mull of Kintrye and Islay in sight. But at age 32 I more fully experienced the glory of that pretty region as a relief GP and the attractive old world flavour of 1990s Calmac. Everything was clean and neat, cheap tea or coffee was decent quality, and civil Calmac staff dished out generous portions of fried food at a fair price. The UK Government spends billions on overseas aid, and hotel rooms for illegal immigrants. So why shave or stunt lifeline services to remote Hebridean islanders? Labour (or the SNP) may be in no hurry to answer this query! James Hardy, Belfast Write to The Scotsman Advertisement Hide Ad Advertisement Hide Ad
Wales Online
22-05-2025
- Business
- Wales Online
Welfare cuts could impact three times as many Welsh households
Welfare cuts could impact three times as many Welsh households The Bevan Foundation says the number of households affected by UK Government cuts to Universal Credit and disability benefit may soar The levels of poverty people in Wales are living in could increase dramatically as a result of the UK Government's planned changes to welfare reform (Image: South Wales Echo ) The levels of poverty people in Wales are living in could increase dramatically as a result of the UK Government's planned changes to welfare payments, a think tank has said. In March, the UK Government announced changes to disability benefits and Universal Credit. There have been repeated concerns about the impact of the proposal, and questions about how it will impact Wales. A report today by thinktank the Bevan Foundation says the number of households affected could more than treble, from 24.5% to 78.4%. Part of the government proposals included measures to get people back to work, with those taken into account, the think tank say it is likely that household affected by the reforms will still be more than twice as likely to be living in poverty once the reforms are fully rolled out than is currently the case. For our free daily briefing on the biggest issues facing the nation, sign up to the Wales Matters newsletter here The report, by data experts Policy in Practice, found some households set to be over £900 a month worse off Earlier this month, Policy in Practice, said nearly 190,000 people will be affected by the changes to benefits. The Bevan Foundation's Head of Policy (Poverty) Dr Steffan Evans said: "These new findings make for incredibly grim reading. It is clear, that without a rethink, UK Government's proposed reforms to the benefits system will have a particularly severe impact on poverty in Wales, making life harder for thousands of disabled people. "The results highlight just how important the benefits system is in reducing poverty. Whilst the UK Government is right to take action to support disabled people back into work, work can only ever form part of the answer. Article continues below "It is vital that the UK Government maintains a strong safety net to ensure people can access the support they need." Deven Ghelani from Policy in Practice, said: "This research lays bare the sharp rise in hardship many disabled people in Wales could soon face. Local authorities need to prepare for the increase in poverty these reforms will trigger, "The data also shows they are not powerless. "By using insights like these, councils can target support, plan services more effectively, and advocate for the resources their communities will urgently need." The UK Government has failed to give any figures for how its welfare changes will impact Wales despite repeated questions and requests for data. There is acceptance that Wales has a high level of people who claim benefits and WalesOnline asked the Department of Work and Pensions, the Treasury and Wales Office on the day of the Spring Statement how many people would be affected in Wales. None of them could answer. Chancellor of the Exchequer, Rachel Reeves, speaks during a press conference in the briefing room at Downing Street following the announcement of the Spring Statement (Image: Getty Images ) When WalesOnline interviewed the chancellor on her visit to Wales the day after the Spring Statement, she said it was "not usual" to give figures for Wales, but they were looking at the request. You can see her comment here. The Welsh Government was not able to provide figures either. Despite subsequent requests, no-one has been able to answer. It led to a row between the two Labour administrations in Wales and London, you can catch up on that here. Eluned Morgan has said she is "really worried" about how the changes might impact people. Article continues below Wales' health minister Jeremy Miles also said it was not a decision the Welsh Government would have made and said the decision was "wrong". His comments were part of a wider interview.
South Wales Argus
22-05-2025
- Business
- South Wales Argus
Report finds benefit reform could increase poverty in Wales
According to research carried out by Policy in Practice in conjunction with the Bevan Foundation, the UK Government's planned changes to disability benefits and Universal Credit could lead to a more than threefold increase in poverty rates among affected Welsh households—from 24.5 per cent up to 78.4 per cent. In March, the UK Government announced reforms to disability benefits and Universal Credit, leading to widespread concerns about the potential increase in poverty levels. The Policy in Practice report projected that these changes could affect nearly 190,000 people in Wales, or 6.1 per cent of the population, with a loss to the Welsh economy of around £470 million. It has now been found that these changes could dramatically increase the levels of poverty among the affected households in Wales. According to the same report, more disabled people are also set to fall into poverty as a result of these changes. Even though the government's efforts to get more disabled people into work may lessen the impact of the cuts, the study suggests that affected households will still be more than twice as likely to be living in poverty compared to the current rates. Commenting on the findings, Dr Steffan Evans, head of policy (poverty) at the Bevan Foundation, said: "These new findings make for incredibly grim reading. "It is clear that, without a rethink, the UK Government's proposed reforms to the benefits system will have a particularly severe impact on poverty in Wales, making life harder for thousands of disabled people." Deven Ghelani, director and founder of Policy in Practice, urged local authorities to prepare for the rising levels of poverty. He said: "This research lays bare the sharp rise in hardship many disabled people in Wales could soon face. "Local authorities need to prepare for the increase in poverty these reforms will trigger, but the data also shows they are not powerless. "By using insights like these, councils can target support."
