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No Quick Respite From the Cost-of-Living Crisis
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Labour, Employment and WagesThe analysis in NIESR’s Spring Outlook published in May 2022 examined the soaring prices of necessities such as energy and food and its effects on low-income households (Bhattacharjee et al., 2022). Using NIESR’s regional, microsimulation and global macroeconometric models (NiReMS, LINDA and NiGEM, respectively), the distributional consequences of rising inflation were projected for households in 2022-23 across the income distribution, with a focus on how effective the policies announced in the then Chancellor’s Spring Statement were in offsetting at least part of the fall in disposable incomes; see Figure 2.1 and Table 2.6 in Bhattacharjee et al. (2022).
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