Cost of Living Crisis - Public Health Dorset

Cost of Living Crisis

Dorset Council and BCP Council are working with partners to offer support to residents impacted by the cost of living crisis.

You can read more about the available Dorset Council support, the BCP Council Support and the government support on GOV.UK.

The ‘cost of living crisis’ refers to the fall in ‘real’ disposable incomes (adjusted for inflation and after taxes and benefits) that the UK has experienced since late 2021. In part, caused by high inflation outstripping wage and benefit increases. While all people are affected by rising prices, the impact has been felt most by those with low incomes.

Features of the crisis so far include:

  • Inflation at a 30 year high leading to substantial rises in living costs
  • From April 2022 the energy price cap has increased by £693 from £1,277 to £1,971
  • The energy price cap is set to increase again in October 2022 and in January 2023
  • Fall in real incomes, taking inflation into account, regular pay has fallen by 2.2% compared to 12 months ago
  • National Insurance increased by 1.25 in April 2022
  • Rises in petrol, food and rent prices
  • Benefits uprated by 3.1% in April compared to the projected inflation increase of 7%
  • Many residents have already experienced hardship from the Covid pandemic

Citizen's Advice have launched their cost of living dashboard that is updated every month tracking how the crisis is changing. Their blog summarises their key findings and their dashboard is here.

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