Almost half 'worse off than year ago' as Labour's cost of living crisis grows

THE cost of living crisis has got worse under Labour — with nearly half the nation feeling poorer now than a year ago, a poll suggests.

- By David Williamson

Some 44% feel their financial situation has declined in the past 12 months, up from 34% who felt that way last year.

Cash-strapped households are cutting back on treats such as eating out, takeaways and holidays as they struggle to make ends meet.

More worryingly, 31% are even slashing their savings contributions.

This could leave them short in old age, with 62% of those polled saying the state pension of £11,973 per year is not enough to live on.

However, only 4% of people have reduced pension contributions — and two-thirds of respondents to the Pensions UK survey said people should be encouraged to make higher contributions.

Zoe Alexander of Pensions UK said: “Our research shows people want Government to focus on protecting the value of pensions and helping them grow steadily.”