The right to buy policy was cited as a severe disincentive to building, as new homes might have to be sold after only three years, possibly at less than the cost of building.
UK workers have been among the worst affected, with only Lithuania, Estonia, Greece and Latvia experiencing a greater reduction in real wage growth than Britain.
Parents are struggling to afford basics like feeding and clothing their children following Government funding cuts which have seen crisis support scaled back, says the Children's Society.