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Poverty rose in CT when pandemic benefits ended. Federal cuts will make it worse, study says

FILE: Researchers found that an estimated 385,500 Connecticut residents were living in poverty in 2025. That's 10.6% of the state’s population.
Joe Amon
/
Connecticut Public
FILE: Researchers found that an estimated 385,500 Connecticut residents were living in poverty in 2025. That's 10.6% of the state’s population.

Poverty in Connecticut was higher in 2025 than before the pandemic, and upcoming cuts to public benefits could drive poverty rates even higher, according to a new report by Connecticut Voices for Children.

Federal stimulus checks and assistance with housing, healthcare and food during the COVID-19 era drove poverty to a low in 2021. But poverty rates rose again after assistance was phased out, reaching a recent high last year, according to the report.

Researchers found that an estimated 385,500 Connecticut residents were living in poverty in 2025. That's 10.6% of the state’s population.

The nonprofit is making a case for state government support to cushion new federal cuts to food assistance and healthcare, which will take effect over the next few years.

“We can allow federal budget cuts to deepen hardship, or we can make deliberate investments to protect Connecticut residents and strengthen economic security for everyone in our state,” said Emily Byrne, executive director of Connecticut Voices for Children.

The organization wants Connecticut to establish a state-funded food assistance program, similar to federal SNAP benefits. It's also pushing for a state-funded healthcare program that would provide Connecticut residents a public coverage option.

Research by the nonprofit found rates of poverty or near poverty were higher among children, women and people who are Black or Hispanic than overall.

In 2021, a time when pandemic support programs were in effect, the share of children living in poverty in Connecticut dropped to 3.8%. It has since rebounded to 12.5% last year, or about 91,400 children.

The Connecticut Voices report warns that key benefits keeping thousands of Connecticut residents out of poverty are now at risk, including Social Security. It notes that benefits are projected to be cut by 22% for most recipients beginning in late 2032 without federal action.

Projected federal spending for Medicaid and SNAP benefits will also be reduced, and an expansion of tax credits for health insurance premiums has been eliminated.

The cuts come largely through comprehensive legislation passed last year by the Republican-led Congress, previously known as the One Big Beautiful Bill Act.

The changes come at an especially difficult time for Connecticut residents, said Patrick O'Brien, research and policy director at Connecticut Voices for Children. Over the last year, the state's unemployment rate rose more than any other state, reaching 5.2 percent. It's now tied for highest in the country, O'Brien said.

“Adding to the problem, prices rose sharply again during the first half of 2026, especially in the Northeast, where prices in June were 4.3% higher than a year earlier, the highest increase of any region, and prices remained elevated through August,” he said.

Sujata Srinivasan is Connecticut Public Radio’s senior health reporter. Prior to that, she was a senior producer for Where We Live, a newsroom editor, and from 2010-2014, a business reporter for the station.