Helping with the cost of ‘essentials’
Where people cannot be lifted out of poverty through work, the higher cost of living and targeting welfare payments constitute additional challenges in rural areas.
First, the cost of essentials such as heating, food and transport is significantly higher in rural (and especially more remote) areas. The latest research by Loughborough University (2024) shows that the cost of essentials is between 14%-32% higher in rural and remote areas. A high-profile ‘essentials’ campaign led by the Trussell Trust and other charities argued that Universal Credit should at least cover the cost of essentials but currently falls far short. In rural areas this gap is even wider, implying that thresholds for eligibility and levels of benefits should be adjusted accordingly in rural and remote areas if essentials are to be covered.
Moreover, take-up of welfare entitlements is lower in smaller rural settlements. Researchers found that in urban areas 35% of those entitled to Pension Credit failed to claim, rising in rural areas to 42%, and in villages and hamlets to 54%. This matters not only because fewer rural citizens receive the support to which they are entitled, but because receipt of pension credit is now a gateway to other support, notably winter fuel allowance.