Levels of poverty, unemployment and repossessions have all been on the rise since 2004, a report reveals.
An audit carried out by social research charity, the Joseph Rowntree Foundation, says the country needs to recover from "deep-seated" problems which were emerging before the economic downturn.
The foundation's data analysis found that 2004-05 marked a "key turning point", with poverty, unemployment and repossessions on the increase.
Poverty is at the same level as it was in 2000, with two million children in low-income households, unemployment at a 12-year high and repossessions at six times the level of 2004, the report says.
Julia Unwin, the foundation's chief executive, said: "The report highlights the scale of the challenge the Government faces if it is to reduce poverty significantly in Britain."
The study calls in to question the Government's record on tackling poverty.
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