IFS: Living standards will remain lower than 2008

Household incomes will stop falling but living standards will remain lower than 2008, according to the Institute for Fiscal Studies (IFS).

The IFS found that household income between 2013 and 2014 was 6% below its pre-crisis peak on average.

IFS Director Paul Johnson said that although losses were flat across all incomes, poorer families were likely to feel worse off.

Speaking with BBC Radio 5 live's Wake Up to Money, he said: "A 2% fall is more painful for someone near the bottom than a 9% fall is for someone near the top."