Working hard(ship)

This report explores the nexus between poverty, work and housing, and adds to our knowledge of the topic in two distinctive ways. First, we look at in-work poverty not just as a static but also a dynamic condition. Second, we explore the intersection between housing tenure and in-work poverty. In particular, we focus on the fortunes of social renters, drawing on a collaboration with Clarion Housing Group.

We find that across the board, moving into work has a strong downward effect on poverty rates, belying the claim that work does not pay. But in-work poverty is a condition that can be hard to escape, with many moving move in and out of in-work poverty over time. This matters a great deal for social renters who – with fewer second earners, lower pay and marginally shorter hours than those living in other tenures – have a higher in-work poverty risk. We show how low earning families of all tenures have been affected by benefit cuts in recent years.

In-work poverty is a live policy concern and with public opinion strongly of the view that work and poverty should not go hand-in-hand, there is plenty of reason to act. We set out a number of recommendations for policy makers to consider if they wish to ensure the lives of large numbers of working families are no longer blighted by poverty.