Owner-occupiers lose out more than renters — purchasing power contracts most for those with a mortgage
Representative Households 2023–2025
The Labour Institute for Economic Research LABORE tracks the development of income, taxes, tax-like payments, and purchasing power for seven fictitious households in the example household calculations accompanying the autumn 2023 economic forecast. This year, the rise in interest rates weakens the purchasing power of the household with a mortgage. Next year, the income of the unemployed person receiving earnings-related unemployment benefit and the single parent receiving housing allowance will contract sharply. (AI translation)
