The Institute for Fiscal Studies said median take-home incomes had actually increased during the recent recession.
But the institute's analysis of latest government figures suggested it was "entirely possible" that median incomes dropped by 3% in 2010-11.
The policy group said such a fall would leave median income levels back where they were in 2005.
'Pain delayed'
According to the Institute for Fiscal Studies (IFS) the squeeze from the recession on household incomes in the UK is only now being felt.
BBC News - Household incomes in UK 'may return to 2005 levels'
So does this mean there is a follow on impact for small businesses? I know there have been a few members that have said their revenue was still down, and maybe this explains it. If you are dealing in what may be considered luxury items, or maybe restaurants, B&B's etc, then maybe you are still seeing people tightening their belts.
Or do you disagree and this goes against what you are seeing in your own area/business?
The "fear factor"'s probably had a greater economic impact to date than employed people's income reductions, in my view. I feel "we ain't seen nothing yet". Linda CareersPartnershipUK
Many things in life are about confidence, every time we look at the news something bad is happening in the world. I went to county fete last weekend and it was packed, tomsk
Must admit, the weekly shop to morrisons is quite frightening when you analyse what you've bought. I don't think we're extravagant, 90% of things are re-occurring items, but you are definitely more aware of how expensive things are.
I think until interest rates rise people are generally carrying on as normal. When they do rise I think everyone will start changing their spending habbits.. Thanks, Barney |
Recent Posts Improving Website Visibility and Performance for E-commerce 1 comments How BusinAssist Supports Entrepreneurs with Company Formation & Virtual Office Solutions in the UK, USA & Canada How resource smoothing worked for my business Accounts for International Payments and FX? Investigating the Integration of Salary Sacrifice in Fleet Administration 3 comments A New Year begins - what's your resolution? 5 comments  Businesses that aren't yours but you would recommend 15 comments profits and new van 2 comments Composite front door 4 comments Vat / Vat Exempt 1 comments Artificial Grass Las Vegas aliexpress.com 2 comments Employee management? 8 comments  Box Ticking /Greenwash 1 comments  Business vanity awards - scam or good marketing? 1 comments |
