The last five years have seen the amount that households have to spend dropping, with income inequality between the rich and poor rising.
Five years ago, the gap between rich and poor in Jersey was smaller than in the UK – today, Jersey is a more unequal society than the UK, with twice as many pensioners described as living on “relative low incomes”.
The figures are contained in the Household Income Distribution report, which measures how much money different types of households are surviving on. The report uses an international definition of “relative low income” or “at risk of poverty” – which is any household that receives less than 60% of the average (median) income.
In Jersey, that means £29,400 for two adults living together, £41,160 for two adults with two children, or £19,698 for a single adult.
According to those figures:
56% of one-parent families are at risk of poverty.
29% of children are at risk of poverty.
28% of pensioners are at risk of poverty.
The report found that while Jersey’s tax and benefits system reduced inequality between the rich and poor, the effect was completely nullified by the high costs of housing.