Massive income and material deprivation gaps between people with
disabilities and the rest of the population mean that disabled
people are hugely exposed to the rising costs of essentials, with
two-in-five unable to heat their homes this winter, and almost a
third needing to cut back on food expenditure, according to new
research published today (Wednesday) by the Resolution
Foundation.
The report Costly differences combines
statistical analysis with a new YouGov survey of just under 8,000
working-age adults, over 2,000 of whom reported a long-term
illness or disability, to compare how the UK’s disabled and
non-disabled working-age populations have fared in terms of
household income growth over the past decade, and are currently
coping amid the cost of living crisis.
The report finds that people with a disability – who now account
for almost a quarter (23 per cent) of the working-age population,
up from 17 per cent in 2013 – are facing the cost of living
crisis with lower-than-average incomes. The underlying disposable
income gap between the disabled (£19,397) and
non-disabled population (£27,792) was 44 per cent in
2020-21: down from 54 per cent a decade ago, but still hugely
significant.
This underlying income gap excludes income from the extra-cost
disability benefits, on the grounds that these are designed
purely to offset additional costs associated with being disabled.
But if these benefits are included, the disposable income gap
between the disabled and non-disabled population was 30 per cent
in 2020-21 (down from 40 per cent in 2012-13).
The report also notes that people with a disability are far more
likely to be poor than the rest of the population.
One-in-three (33 per cent) adults in the lowest household
income decile have a disability, compared to fewer than
one-in-ten (9 per cent) of adults in the highest household income
decile.
The huge income gap is partly explained by the low
employment rate for disabled workers: a little over half (54 per
cent) of the working-age disabled population is in work, compared
to fourth fifths (82 per cent) of the non-disabled
population. However, even after accounting for
employment status, over half of the original income gap remains –
showing that in-work disabled people face an increased risk of
being on lower incomes too.
The income gap also means that the disabled population are at a
heightened risk of experiencing material deprivation, meaning
that they are unable to afford everyday essentials.
The report finds that people with a disability are almost three
times as likely to live in material deprivation than the rest of
the population (34 per cent vs 13 per cent) – and shows how their
living standards have been stung by fast rising energy and food
prices.
For example, almost half (48 per cent) of disabled adults say
they have had to cut back on energy use this winter, compared to
almost one-third (32 per cent) of people without a disability.
Furthermore, around two-fifths of people with a disability (41
per cent) said they couldn’t afford to keep their homes warm,
compared to just over one fifth (23 per cent) of the non-disabled
population.
Finally, almost one-in-three (31 per cent) people with a
disability say they have had to reduce their expenditures on
food, compared to 18 per cent of the non-disabled population.
The Foundation notes that, because of the wide range of
disabilities that exist, there will be important differences
between how different individuals are affected. Those who are
housebound, or suffering limited mobility, for example, may be
more affected by rising heating bills, due to increased time
spent in the home.
Likewise, with two-in-five people with mental health
problems living in materially deprived households, the
relationship between disability and a person’s living standards
may be a two-way one – with the psychological stress caused by
financial difficulties contributing to poor mental health.
Recently-announced Government support, which includes the
welcome repeating of the £150 Disability Cost of Living Payment
in 2023, will help millions of people with disabilities in
the short term.
However, further measures will be needed, given the financial
precarities faced by disabled people shown in this report. These
should ideally encompass a broader focus on lower living
standards for the disabled population, and support for both those
who wish to work, and those who cannot.
Charlie McCurdy, Economist at the Resolution Foundation,
said:
“While fast-rising prices for essentials is impacting people
across the UK, people with disabilities are more exposed to the
most severe effects, with two-in-five now unable to heat
their homes, and almost one-in-three cutting back on food
expenditure.
“This means people with a disability – who account for a third of
the poorest households in Britain – will require additional
protection during the cost-of-living crisis, which the Government
has acknowledged through their Cost of Living Payments.
“But more policy work will be needed, not just through this
crisis, but to make more progress on closing the huge income gaps
that already existed between disabled people and the rest of the
population.”
Notes to Editors
- The research uses data from an online survey of 10,470 adults
aged 18+ conducted by YouGov, and supported by the Health
Foundation. The figures presented from the online survey have
been analysed independently by the Resolution Foundation. The
views expressed here are not the views of YouGov.
