Poverty costs the UK taxpayer £78bn every year, according to a new report.

The study commissioned by the charity the Joseph Rowntree Foundation estimates an additional £69.2bn of government spending goes on on services such as health and education to meet the impact of poverty.

The UK taxpayer also loses £9bn through benefits spent on dealing with poverty and lost tax revenue.

It is "unacceptable" for people to be living in poverty and "holds back" Britain's economy, according to the foundation.

Julia Unwin, the charity's chief executive, said: "It is unacceptable that in the 21st century so many people in our country are being held back by poverty.

"But poverty doesn't just hold individuals back, it holds back our economy too.

"Poverty wastes people's potential, depriving our society of the skills and talents of those who have valuable contributions to make.

"This drags down the productivity of our economy, hinders economic growth, and reduces tax revenue.

"Taking real action to tackle the causes of poverty would bring down the huge £78bn yearly cost of dealing with its effects and mean more money to create better public services and support the economy.

"UK poverty is a problem that can be solved if government, businesses, employers and individuals work together.

"If we fail to do so poverty will create an even bigger risk to our country today, and for future generations."

The research was carried out by academics at Heriot-Watt University in Edinburgh and Loughborough University.

In response to the report, the UK Government said it was "committed" to tackling poverty.

A UK Government spokesman said: "We're committed to creating a Britain that works for everyone, and that means tackling the root causes of poverty.

"Employment is key and we've made good progress - there are now more people in work than ever before, millions are receiving a pay rise thanks to the National Living Wage and we've doubled free childcare to 30 hours.

"But there's more to do and we're taking action across other areas like education and family breakdown so we can help more people to succeed in life".