THE divide between the richest and poorest families in the UK is being made worse by sky-high inflation and “unnecessary” tax breaks, a pair of think tanks warned.

The UK’s least well-off households are significantly more pessimistic about their ability to keep spending than their wealthier counterparts, according to data from the Centre for Business and Economic Research and market research company YouGov.

The research estimates that around 60 per cent of the population, skewed to the lower end of the income scale, have burned through any savings they made when shops and restaurants shuttered during Covid lockdowns and are now using the cash to maintain everyday spending as the cost of living crunch bites.

Read the full article and the referenced Forecasting Eye report.