7 in 10 people in Yorkshire & Humber expect long-term economic prospects to worsen

Thousands of people across the country were asked to offer their view, after the cost of living hit a 40- year high, the country entered a recession, interest rates were hiked to three per cent and the Government announced £25bn of tax rises. The research, published by Centre for Progressive Policy, shows 59 per cent of people in the UK expect local economic conditions to worsen over the next five years.

The North of England is more pessimistic, as 65 per cent predict things will get worse and in Yorkshire and the Humber that figure stands at 70 per cent. By comparison, around a quarter (26 per cent) of people in both the South-East and London expect their local economy to improve, compared to just a fifth (20 per cent) in the UK as a whole.

When asked which changes would make the biggest difference, higher wages were a priority in the North (suggested by 29 per cent), while in Yorkshire it was transport (suggested by 23 per cent).

And, according to the think-tank, affordable housing was the priority in the South (30 per cent).

Ben Franklin, Director of Re- search at CPP, said: "These findings are a serious reality check for the levelling up agenda, which should worry the Conservative party following a fiscal statement devoid of any serious plan to tackle regional inequalities.

"People feel most pessimistic about their local area's economic prospects in precisely the northern and post-industrial places where many placed their faith in the Tories for the first time in 2019.

"While there were some welcome moves in the fiscal statement on wages and support with the cost of living for people on low incomes, there was no core economic vision or plan to deliver the investment in transport, skills and housing people want to see in their local areas."

It comes after the Office for Budget Responsibility warned the UK faces its biggest drop in living standards on record, as household income will fall by seven per cent over the next 18 months.

Chancellor Jeremy Hunt announced a range of measures in the autumn budget to provide additional support for households, including a minimum wage increase, additional cost-of-living payments for the most vulnerable and a pledge that benefits and pensions will rise in line with inflation.

He also froze tax thresholds until April 2028, meaning millions will pay more, and introduced a new energy price guarantee which will see the average annual household bill rise from £2,500 to £3,000.