Average household incomes in the UK have returned to their pre-2008 crisis levels, according to the Institute of Fiscal Studies (IFS).
Incomes for working age people remain below pre-crisis levels, after adjusting for inflation, with young people continuing to suffer for the mistakes that caused the financial crisis.
The research found that median income for those aged between 22 to 30 is 7.6% lower in 2014-15 than in 2007-08, and 2.5% lower for those aged 31 to 59.
However, median income for those over 60 is 1.8% higher than pre-crisis levels, with pensioners seeing their incomes grow consistently over the last five years because state pensions are “triple-locked”, which means they have risen by inflation, earnings or 2.5%, whichever is the highest.
Inflation between 2007 and 2010 also had a greater effect on the poor than the rich, with steep food and energy price increases taking up a disproportionately large portion of the incomes of the poorest.