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Sun, 12 Jul 2026

Sun, 12 Jul 2026 Londoners face hidden poverty premium, study says

Low-income households in London are facing an additional burden of over £600 a year simply to access standard goods and services.

* Low-income households in London face a "poverty premium" of over £600 per year due to higher prices for standard goods and services.
* The study by Fair by Design found that families in Peckham pay an average of £493 more annually than wealthier households for identical items.
* The single largest driver of the poverty premium is food shopping, with 39% of families forced to rely on local convenience stores instead of larger supermarkets with more competitive pricing.
* Prepayment meter users pay £129 more a year than those on fixed direct debit tariffs, while drivers in deprived postcodes face an average of £153 extra on their motor insurance.
* The government claims that its policies are working to alleviate poverty and that household incomes have risen 5% in real terms.
* However, critics argue that the cost of living is still biting and that more needs to be done to address the issue, including investing in social and affordable housing.