Households 'excluded' from UK growth, TUC warns

TUC general secretary Frances O'Grady Frances O'Grady will warn that government is 'desperately short of solutions'

Households are being "excluded" from the benefits of the UK's economic recovery, the leader of the TUC trade unions body will say in a speech later.

Frances O'Grady will tell a conference that the economy has grown by £60bn in the last four years, while household disposable incomes have risen by £1bn.

A spokesman for the government said its economic plan was "the only sustainable way to raise living standards".

The latest official figures suggest the economic recovery is strengthening.

GDP estimates from the Office for National Statistics (ONS) indicate growth of 0.8% in the third quarter of the year, on top of growth of 0.7% in the previous quarter.

But Ms O'Grady will say this good news is not filtering through to household budgets.

"The historic link between economic growth and rising incomes has been broken under this government," she will say.

"Households are being excluded from the benefits of growth. Unless this changes, the recovery will be meaningless to the vast majority of people across Britain."

She will say the government is " desperately short of solutions".

In a statement the Treasury said he government's plan for economic recovery was "slowly but surely working".

"The economy is growing, the deficit is falling and jobs are being created," it said.


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  • rate this

    Comment number 43.

    Unles one is in a very high paid executive job, most have not seen any growth to wages.

    Also, UK economy may have grown, but it is still just back to what it was in 2008/2009 after a mssive drop, so in actual comparison across UK economic growth is practically ZERO

    The lost years/lost growth can NEVER be made up & for government to suggest it is geeting better is in denial of whats been LOST

  • rate this

    Comment number 40.

    The TUC is living in the 1970s.

    Companies have a choice where to set up operations. Never before has so much of the world been open to trade and considered safe enough for companies to invest.

    We must recognise this and make the UK an attractive place to set up businesses.

    The Unions have proved time & again they only bring negativity to the table.

  • rate this

    Comment number 39.


    This growth in the economy is in reality a housing boom and the usual fictional fantasy from the city.

    In the real world with the real economy there is no growth, just the opposite

    Until we get a government that lives in the real world, it will only get worse for the 99%


  • rate this

    Comment number 33.

    Households are benefiting - growth in business means people keep their jobs.
    Yes, the salaries might not go up, but we had a serious recession and keeping one's job is the best news we can have at the moment.

  • rate this

    Comment number 29.

    At least she admits the economy is growing. The PMIs show strong growth in Manufacturing as well as services and in all regions. Her figures seem questionable but the fact is that growth in household incomes must be based on paying our way in the world not an unsustainable deficit.


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