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Social Mobility: Low Incomes

Asked by Andrew RangerLabourTreasuryTabled Answered 10 April 2025UIN 43527

The question

To ask the Chancellor of the Exchequer, what steps she is taking to (a) reduce income inequality and (b) improve social mobility for people from lower-income backgrounds.

Answered by James Murray

Distributional analysis shows that the expected impacts of government decisions from Autumn Budget 2024 onwards are progressive and benefit households in the lowest income deciles the most, on average, as a percentage of income in 2028-29.

The Government is committed to making sure the wealthiest in our society pay their fair share of tax. That is why the Chancellor announced a series of reforms at Autumn Budget 2024 to help fix the public finances in as fair a way as possible. The increases in tax are concentrated on the highest income households. Overall, on average, all but the richest 10% of households will benefit from policy decisions in 2028-29.

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