Living Standards in the UK are set to worsen according to the Institute for Fiscal Studies which says the affect of the recession is “only just begun to be felt”

The IFS went on to warn that they predict a 3.5% drop in household income, which would be the largest drop in 30 years.

Robert Joyce, research economist at the IFS said, ‘The current economic downturn began more than three years ago, and may seem like old news.

‘But, as in other developed countries, the most severe consequences of the recession on UK living standards have only just begun to be felt.