Half of London’s children are growing up without enough for a basic standard of living, this research shows.
Nearly four million people in the capital are living in households with inadequate incomes, including one million children.
What's this?
The Minimum Income Standard (MIS) is a measure of what a person needs to earn in order to reach an acceptable standard of living. This means enough to cover the essentials - but also to participate in society. In other words, the minimum income needed for what many of us would consider a basic standard of living.
How much does it cost to live in London?
Explore the interactive charts below to see how much it costs for a minimum standard of living in London compared to the rest of the UK, and how many people are falling short.
The additional costs of living in London
- Londoners need to earn significantly more to reach a decent standard of living
- The difference is largest for single, working-age adults. For this group a minimum standard costs 70% more in Inner London than the rest of urban UK and 45% more in Outer London.
- For single parent households it's 57% more in Inner London and 34% more in Outer London compared to the rest of urban UK.
A growing gap between living costs in London & the rest of the UK
- In the last 10 years, the amount needed for a decent standard of living has increased dramatically.
- A key reason for this is rising housing costs - and a lack of social housing meaning many Londoners need to rely on the expensive private rental market.
- For almost every group, the gap between the income needed in London and the rest of the UK has grown in the last 10 years.
Why are living costs higher in London?
- Lots of things are more expensive in London - but the higher cost of living is especially driven by two things: childcare and housing.
- A couple with children living in Inner London needs £370 more per week to cover rent in Inner London, and £260 more in Outer London, compared to the same family in the rest of Urban UK
- The same family would need to spend £233 more on childcare in Inner London and £83 more in Outer London compared to the rest of Urban UK
Incomes are falling short
- Many Londoners don't earn enough to reach the Minimum Income Standard
- Four in ten social renters and more than half of private renters' incomes fall short
- Half of children in London are growing up in households with inadequate incomes
- Across London, it's four in ten people, earning less than what is needed for a decent standard of living.
