Record levels of deep poverty demand urgent action — TAP responds to new JRF findings and calls for tax reform

London, 28 January  — Taxpayers Against Poverty (TAP) welcomes the publication of the latest Joseph Rowntree Foundation (JRF) UK Poverty 2026 report, which shows that levels of hardship in the UK are not only widespread but deeper than at any point in over 30 years.

While overall poverty rates remain high, a record 6.8 million people — almost half of those in poverty — are now living in “very deep poverty”, with incomes far below the poverty threshold. The number of people experiencing destitution — unable to afford basics such as food, heat and shelter — remains alarmingly high. (The Guardian)

Of particular concern are rising child poverty figures, with around 4.5 million children now living in poverty, rising for the third consecutive year, even as government measures such as the removal of the two-child benefit limit are expected to reduce numbers in future years. (Reuters)

TAP’s response: immediate, structural action needed

While we welcome steps to reduce hardship, the JRF findings underscore the urgent need for a comprehensive strategy to tackle poverty at its roots — not simply temporary relief or partial measures.

The Nicolson Report: The Poverty Scandal, to be published on 17 February, lays out a strong case that poverty is not only a moral failure, but an economic one, with deep implications for national prosperity. It shows that poverty costs the UK economy tens of billions of pounds every year through lost productivity, increased pressure on the NHS and social services, and reduced tax receipts — yet there is no coherent national strategy to address it.

Tax reform at the centre of solutions

Central to TAP’s analysis is the need for tax reform that shifts the balance away from taxing work and consumption and toward fairer taxation of wealth, including:

·       Aligning Capital Gains Tax with Income Tax to ensure unearned income is not taxed at lower rates than earnings

·       Applying National Insurance to investment income, so wealth holders contribute on similar terms to wage earners

·       Reforming council tax, replacing or revaluing it to reflect real property values and wealth, paid only by owners not renters

·       Reforming Inheritance Tax by closing loopholes and focusing on larger estates

·       Introducing a modest tax on extreme wealth, aimed at only the very richest

These measures would raise significant revenue fairly, allowing increased investment in prevention rather than costly reactive spending.

“We already pay for poverty,” said Tom Burgess, CEO of Taxpayers Against Poverty.“JRF’s latest data show not just persistence but deepening hardship. The Nicolson Report, published next month, outlines how a fairer tax system — one that asks those with the broadest shoulders to contribute — can fund the long-term solutions this country urgently needs.”

“We might be the sixth largest economy in the world, but it doesn’t feel like it.

Many of us are struggling to make ends meet, and some are finding it especially hard.

We have a deeply unequal society – it works for some at top and not for people at bottom. There’s enough wealth in our country. But the system isn’t working, it is delivering unfair results. We have to reform the current system.”

About TAP’s forthcoming report

The Nicolson Report: The Poverty Scandal will be published on 17 February and will present detailed evidence on the economic impacts of poverty and policy proposals to reduce hardship, with a particular focus on sustainable tax reform and public investment.

ENDS

Notes to editors:

·       JRF defines “very deep poverty” as incomes below 40% of the national median after housing costs — approximately £16,400 per year for a couple with two children. (The Guardian)

·       More details about The Nicolson Report are available on request.

·       For interviews and comments, contact Tom Burgess, CEO, Taxpayers Against Poverty: taxpayersagainstpoverty@gmail.com

About Taxpayers Against PovertyTaxpayers against Poverty is a UK-based independent advocacy group dedicated to tackling poverty, inequality, and economic injustice TAP seeks to influence national and local policy by promoting practical economic proposals that have a positive effect on reducing poverty and unnecessary financial hardship using a direct approach to decision makers and other influencers.

TAP was founded by the late Rev Paul Nicolson and is led by Tom Burgess, author of From Here to Prosperity, a new political agenda for a sustainable economy and greater social justice, which proposes taxing wealth more and income less. TAP’s sister organisation is Compassion in Politics which seeks to bring more honesty, respect and compassion into political life.

For media enquiries, interviews, or comment: Tom Burgess, CEO, Taxpayers Against PovertyEmail: taxpayersagainstpoverty@gmail.comWebsite: www.taxpayersagainstpoverty.org.uk