Broke Britons put economic recovery at risk
This article explains how the often ordinary majority – those on middle and low incomes – who are gathered in large numbers in rural communities across England are living close to the financial edge. We tend to have a monchrome view in this country which suggests rural places are more affluent than urban places. When you break the detail of places down to individual stories the truth is far more complex. It is also interesting to consider relative changes to the circumstance of different income groups in terms of this debate – this survey which finds many people in straightforward but modest employment are living to the limits of or beyond their means opens up scope for further thinking about the nature of in work poverty in ruralEngland. It makes me think that whilst unemployment may be lower in key parts of rural England so are wages. Many rural communities which have a high proportion of moderate financial achievers are feeling a more significant relative squeeze compared to other challenged communities than many commentators may think. The article reveals:
“Research by Ipsos Mori for the Resolution Foundation think tank found that 48 per cent of people in low to middle-income households – defined as having a gross income of between £12,000 and £48,000 a year – have any cash left over at the end of each month. This is compared with 66 per cent among higher-income households. ”
This is not to play down the impact of the recession on places suffering significant deprivation but rather to point out that places which were formerly economically resilient on the basis of higher levels of employment, many in ruralEngland, are in danger of losing the financial dynamism which kept them out of the deprivation rankings. Once the sustainability of many of those fringe rural places is lost they are too small and often too distant from bigger settlements to grow their way back out of trouble in future good times. I have some ideas about how these places might be identified and what might be done to address the challenges they face. If you are interested please get in touch.