The Resolution Foundation has attacked Philip Hammond's Budget for not going far enough
The Resolution Foundation said this pinch on incomes will last even longer than after the 2008 economic crash.
And despite welcome shake-ups to Universal Credit which will help the poorest Brits, it says that other benefit changes will put "downward pressure on living standards" and force up inequality.
"The poorest third of households are set for an average loss of £715 a year by the end of the parliament, while the richest third gain an average of £185," the report says.
And it adds: "In the face of this living standards disaster, the Chancellor has not done enough to protect families
from further squeezes through the social security system."
All you need to know about the 2017 Autumn budget
A separate report from the Institute for Fiscal Studies (IFS) today said that workers would face two decades of lost earnings growth.
It predicted too that we will be paying off the debt accumulated from borrowing during the 2008 financial crash for decades to come – "well past the 2060s".
Paul Johnson, Director of the IFS, said that forecasts for earnings, productivity and economic growth made for "pretty grim reading" and he hoped that they would turn out to be wrong.
"Let's hope this forecast turns out to be too pessimistic," he added.
Figures have repeatedly shown that wages have been outstripped by inflation.
And despite a £25billion giveaway, the Budget did not mark the end of the "age of austerity", the think tank said.
Mr Johnson said that there were "difficult years ahead" in most areas of public spending.
