There was a real-terms decrease in median household income of 1.5% after housing costs (AHC), or 0.5% before housing costs (BHC) between the 2022 and 2023 financial year ends, according to data from the Department for Work and Pensions (DWP).
Most of the income distribution spectrum experienced a fall in real household incomes, with slightly larger reductions – averaging around 2% BHC – at the bottom half, while those in the top 10% of the distribution recorded small increases.
Income inequality increased slightly in 2023, both before and after housing costs; the level has remained broadly stable since FYE 2011.
