Nearly half of UK households see little benefit from economic growth, report shows

PwC’s latest report estimates that 12.5 million households - 46% of the nation - reside in parts of Britain where economic expansion has not translated into higher living standards. The analysis shows the north of England, the Midlands and Wales lag behind the national spending-power average, with the north east earning £1,542 less per year and Yorkshire and the Humber £1,917 less. In contrast, the South East and London report spending power 9% above average, adding about £2,154 annually.

Researchers attribute the divide to regional differences in income, taxes and housing costs, and note intra-regional gaps such as the contrast between Richmond and neighboring Hammersmith and Fulham. The study urges that future devolution grant local authorities greater control over locally generated revenues to ensure growth benefits communities directly. Prime Minister Andy Burnham has pledged to address cost-of-living pressures and regional inequality, while Conservative leader Kemi Badenoch criticised the government’s growth approach.