Living standards stalled between 2023 and 2024, research shows

The average UK citizen’s quality of life did not improve between 2023 and 2024 according to Carnegie UK and Ipsos research based on two surveys each of more than 6,700 people.

Carnegie’s Life in the UK Index measures the wellbeing of the people of the UK by examining answers to questions across social, environmental, economic, and democratic themes.

Now in its second year, the 2024 index shows no improvement across any of its headline measures. The UK’s 2024 collective wellbeing score is 61 out of a possible 100. This shows no improvement compared with 2023, when the score was 62.

The study, published in advance of this week’s Budget, warns that inequalities in society and a lack of trust in politics and government are undermining the collective wellbeing of the people of the UK.

Carnegie UK is a public policy foundation focussed on improving people’s wellbeing. They argue that improving the lives of the people of the UK should be the overarching aim of government.

Sarah Davidson, chief executive of Carnegie UK, said: “Our new index confirms what many people feel: life in the UK did not improve for the average citizen over the last year. This demonstrates a failure in our public policy and should focus the minds of UK decision-makers.

“The 2024 Life in the UK index sets a benchmark for the new Labour government. Its success should be measured by how much the lives of the people of this country improve over the parliamentary term.”

For a second year running, the research identifies groups in society with particularly low levels of wellbeing. These include people on lower incomes; people living in social housing; disabled people; and people living in the UK’s most deprived areas.

Carnegie UK says that this week’s UK Government budget is an opportunity for the Starmer administration to prioritise policies designed to boost the wellbeing of those that have least.

Sarah Davidson said: “For a second year, our research shows alarmingly wide differences in the living standards of different groups in UK society. With almost no movement in wellbeing scores between 2023 and 2024, it looks likely that these inequalities are entrenched.

“When the Chancellor stands at the despatch box this week, her long-term tax and spending decisions should be designed to close the wellbeing gap between citizens in our society.”

In a similar pattern to 2023, the 2024 polling also found widespread distrust in the UK’s political systems and institutions.

The survey work – conducted in May 2024 ahead of the General Election – found that almost three quarters (72%) of people in the UK feel that they cannot influence decisions that affect the UK as a whole. In addition, more than half (55%) disagree that they can influence local decision-making and a similar share (53%) have a low level of trust in the UK Government.

Carnegie UK is warning that the new government’s policy platform lacks specific plans to restore trust in democracy and government, describing this omission as Labour’s ‘missing mission’.

Sarah Davidson said: “UK democracy is in poor health. Our research shows that a majority of people feel as though they’ve no influence over local or national decision-making.

“While we don’t know what impact this year’s election will have on trust, given the scale of the problem it seems unlikely that a change in government alone will restore confidence. And while the Labour administration has many policies that may indirectly boost trust – such as plans for increased devolution in England – repairing democracy is a mission so far absent from the UK Government’s policy plans and proposals.”

Carnegie UK argues that government in the UK needs to develop new measures of social progress to aid public policy decision-making and to complement gross domestic product (GDP).

Sarah Davidson said: “Growth figures alone won’t tell decision-makers how many families don’t have enough to eat or what people feel about their local neighbourhood. That’s why all spheres of government need to put statistics that measure people’s overall wellbeing at the centre of their decision-making.”

The Life in the UK Index is produced in partnership with Ipsos.

Emily Gray, Managing Director of Ipsos in Scotland, said: “The Life in the UK Index provides robust evidence that allows policymakers across the UK to track how people’s wellbeing is getting better or worse over time. Unfortunately, these latest results show that wellbeing has been stagnant over the past year across the board – which underlines the scale of the challenge currently facing the UK Government.”