FTSE stable as report shows recovery may bypass lower earners
City Index October 31, 2012 3:15 PM
<p>The FTSE 100 has held its ground after a report indicated the recovery may not benefit lower earners in the coming decade.</p>
The FSTE 100 was stable in trading this morning (October 31st) as a fresh report revealed that the economic recovery in the UK could bypass middle and low-earning households.
A study from the Resolution Foundation argued that living standards could fester over the coming decade, with incomes ending no higher in 2020 than they were in 2000.
The think tank claims this will be down to the demise of administrative and factory sector employment opportunities in the UK and warned high joblessness will continue to put pressure on wages.
However, it said this can be avoided if policymakers take action by increasing female employment, boosting low salaries and raising skills, adding that such measures could make a typical middle-income household better off by £1,600 annually by 2020 after inflation.
At 10:30 GMT, the FTSE 100 was stable, losing a marginal 1.2 points to an index value of 5848.6 points.
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