UK economy £100bn smaller because of austerity – thinktank

Cumulative effect since 2010 has left each person 1,495 a year worse off, analysis shows

Austerity policies from the Treasury have resulted in slower growth in every year since 2010 and left each household 300 a month worse off as a result, a thinktank has said.

The New Economics Foundation said its analysis of the impact of tax and spending changes since the Conservatives came to power, first as part of a coalition with the Liberal Democrats, had left the economy 100bn smaller than it would otherwise have been.