July 2023 | Fair Point | abrdn Financial Fairness Trust Newsletter

31 July 2023

We’re all going on a…

…well, actually fewer of us than last year will be going on a summer holiday. Our latest Tracker shows 35% of households have cut back on spending on holidays or breaks away this year in an effort to cope with the cost-of-living crisis. Read more about our findings here. And our latest blog from Donald Hirsch, highlights the cumulative impact of inflation, which annual rates tend to mask.

For those of you who are taking a break over summer though, may we recommend downloading our podcast? The latest edition features the TUC’s Assistant General Secretary Kate Bell on why pay is a hot topic, offering some insights if you’re held up at airport departures due to striking workers. It could make you feel a bit more zen about the delay. We also have recent episodes on Levelling Up, Childcare and Pensions, all useful to avoid brain-rot if you’re lucky enough to be lying on a sun lounger somewhere. All episodes are available to download here.

Before you go, take a look at our recent findings on living standards:

Might house prices drop 25%?

Earlier this month we published our annual wealth audit, part of our partnership with the Resolution Foundation on wealth in Britain. The researchers looked at potential scenarios for interest rates. If they stay at current higher levels, there would be two key long-term effects – lowering house prices and making it easier to achieve a decent standard of living in retirement by raising rates of return on pension savings.

Read more about wealth in Britain

Read more about the current state of housing in our latest Housing Tracker

Employment growth set to halve over next two decades

New analysis from the Institute for Employment Studies and the Trust show that employment growth in the UK is set to slow dramatically in the coming years, as a result of our ageing population, lower birth rates and lower labour market migration since the EU referendum. Major reforms to our employment and skills system are needed, to avoid weaker jobs growth contributing to higher inflation and falling living standards in the longer term.

Read the story

Parents and carers call for overhaul of employment support

Over 100 parents and carers working with the Changing Realities project have come together to call on the government to reform the benefits system to help people get into and on in work, by scrapping punitive measures and focusing on breaking down employment barriers.

Find out more