Billions spent on state support enrich private landlords, while one in six working households face poverty
Action needed to bring down housing and childcare costs, and make work pay, to prevent further increases in poverty
Stark new figures show the need to rethink economy and end constant house price spiral, report says
The UK’s relative poverty rate among working households has hit a record high this century of 17.4 per cent, according to the first comprehensive analysis of official data released last month.
Working poverty rates among families with three or more children have reached 42 per cent, up more than two thirds over the past decade.
The figures, reflecting the position just before the pandemic struck, show that working poverty rates have risen across the entire country but are highest in London, Wales and the north of England. Families of all sizes have been affected, with single parents, couples with a single earner and large families affected worst.
The sharp rise in working poverty (poverty faced by anyone living in a household where someone is in work) is revealed in a newreport by the IPPR think tank.
The report, No Longer Managing, lists four factors behind the growth in poverty: spiralling housing costs among low-income households; low wages; a social security system that has failed to keep up with rental costs; and a lack of flexible and affordable childcare.
It identifies the economy’s over-dependance on house price growth as a key factor in driving poverty higher, as more families have to rely on renting privately and housing costs for private tenants have risen by almost half (48 per cent) in real terms over 25 years. One in four households is projected to be renting from private landlords by 2025.
As a result, it says, much of the multi-billion pound benefits bill supports housing costs in the private sector, with any increase effectively channelled into the pockets of private landlords. IPPR estimates that £11.1 billion of housing support spending went to private landlords last year.
Detailed IPPR analysis of DWP survey data also found that:
Two-earner families where one partner works full-time and one works part-time are increasingly being pulled into poverty, a significant shift. For people in this group, the chances of being pulled into poverty have doubled over the past two decades, from one in 20 to one in 10.
Even for households with two people in full-time work, the chances of being pulled into poverty have more than doubled over the same period, rising from 1.4 per cent to 3.9 per cent.
Couple households with one full-time earner now have a poverty rate of 31 per cent, almost as high as working households where nobody works full time.
London has the highest rate of in-work poverty – 22 per cent – with Wales, the Midlands and the north of England next highest on 18 per cent. The rate is lowest in Northern Ireland (13 per cent).
The IPPR report argues for new and different long-term targets for welfare, economic and housing policy, which reflect housing, childcare and travel-to-work costs as a percentage of families’ income.
It says that the government’s current ‘levelling-up’ agenda is “unlikely to benefit working families if it remains largely focused on physical infrastructure” and fails to address growing inequalities. These include rapidly rising house prices and the growing gulf between property owners and renters – often in the most affluent parts of the country.
Instead it urges developing wider objectives to bear down on some of the highest costs faced by working families – housing and childcare – and to ‘make work pay’.
The report calls for long-term reforms to:
Contain housing costs as a share of household income. This could include setting a house price inflation target as part of the Bank of England’s remit; greater taxation of property wealth; and investing at least £15 billion in capital grants to help vastly increase the rate of new housebuilding.
Contain childcare costs as a proportion of household income, and make it more flexible. Measures to achieve this would include higher state subsidies for children under five and wraparound care for school-age children, with funding going directly to childcare providers.
Make work pay, through labour market reforms, skills policy and higher income support. Greater collective bargaining and unionisation, bearing down on insecure work and increased access to training and skills would all help to raise incomes; but greater support through the social security system, eroded during the transition to universal credit, is also needed so that people are better off in work.
It also proposes measures to alleviate the problem in the short term, ranging from increases in local housing allowance to changes in childcare payments made through Universal Credit, and a 20 per cent higher minimum wage for zero hours contracts.
But it warns that without underlying long-term reforms, government will face a perpetual choice between paying constantly rising social security bills to offset growing in-work poverty – or allowing the number of working families in poverty to increase unchecked, as is currently the case.
Clare McNeil, IPPR associate director and head of its Future Welfare State programme, said:“These shocking new figures should be a wake-up call for everyone concerned about our future.
“The UK economy’s dependence on ever-rising house prices, and the lack of affordable housing, have trapped us in a vicious circle which, unless broken, will condemn us either to a constantly rising social security bill, or to ever-increasing poverty among working households.
“A growing private rented sector coupled with high rents enriches property owners at the expense of renters, and represents a transfer of wealth away from people who already have very little, into the hands of others who are steadily accumulating more.
“We need an alternative to what the government calls ‘levelling up’. That should look beyond headline incomes to the true costs and obstacles people face when struggling to make work pay. Otherwise more and more families who were once ‘just about managing’ will join the growing number who are ‘no longer managing’.
“Short-term fixes are needed to alleviate the immediate crisis, but to solve the underlying problem we need a far deeper rethink of housing, childcare, social security and work.”
The Bishop of Dover, the Rt Revd Rose Hudson-Wilkin, who is a member of IPPR’s welfare state advisory panel, said:“The system is broken and it is our responsibility to see that it is changed.
“Providing a home and building a future for your family is something we all strive for and this report shows that one in six households are trying as hard as they can but still finding it impossible to feed their families and provide a safe roof over their heads.
“The gulf between the rich and the poor is growing, as the pandemic showed us all too clearly. We must do more as a country to ensure that the resources we have been blessed with are shared more equally – now, and in the future.”
The Children’s Commissioners of Scotland, Wales and Northern Ireland have today published a letter they have sent to the Secretary of State for Work and Pensions calling for an end to the two-child limit on Universal Credit and Child Tax Credit.
In the letter, the Commissioners state that the policy, which disallows benefits payments to the third and subsequent children born after April 2017 in most circumstances, is ‘a clear breach of children’s human rights’ that “is inconsistent with the commitments made by the UK through the ratification of the United Nations Convention on the Rights of the Child.
The UK Parliament’s Work and Pensions Committee will today hear evidence from Bruce Adamson, Children and Young People’s Commissioner for Scotland who will present the collective views of the Commissioners in Scotland, Northern Ireland and Wales, that the efforts of their devolved governments to tackle child poverty are being restricted by UK benefits rules.
He will talk about the impact of current welfare benefits on child poverty in Scotland and explain that even before Covid-19, poverty represented the greatest human rights issues facing children.
Children and Young People’s Commissioner for Scotland, Bruce Adamson, said: “With more than a quarter of a million children affected, poverty is the most significant human rights issue facing children in Scotland.Living in poverty affects every aspect of a child’s life, including their educational attainment and mental and physical health.
“The UK’s approach to poverty was examined in 2019 by the United Nations’ top expert on poverty and human rights who highlighted that it is political decisions by government that are leading to disastrous levels of poverty.
“When Professor Alston came to Scotland to meet with children and their families he heard from them about the serious impact that poverty is having on their human rights. Now after over a year of the Covid-19 pandemic, the situation for children in Scotland has become much worse.”
The open letter from the Commissioners to the Right Honourable Thérèse Coffey, MP states that the two-child limit breaches children’s rights to an adequate standard of living and is contributing to a rising gap in poverty levels between families with three or more children and smaller households.
The Commissioners note that the policy also has disproportionate impacts on social groups where larger families are more common, such as some minority faith and ethnic groups and in Northern Ireland where families are larger than the rest of the UK.
Bruce Adamson added: “The Scottish Government has taken some action to reduce the number of children in poverty including rolling out the Scottish Child Payment during the pandemic, however I remain concerned that children’s rights are continuing to be breached in Scotland by the two-child limit on child tax credit and universal credit. That is why we have taken the step of writing to the UK Government to urge that this policy is reversed.
“We will continue to hold our devolved governments to account in relation to their obligations to respect, protect and fulfil children’s rights, but these governments can only go so far in their efforts to ensure children and their families get the support they are entitled to while this discriminatory policy also remains in force at a UK level.”
The Commissioners conclude their letter by stating that the ‘levelling up’ agenda signalled in the Queen’s Speech earlier this month must start by discontinuing the two-child policy: ‘With the focus in the Queen’s speech in May 2021 on ‘levelling up’, there can be no excuse for continuing to breach children’s rights through this discriminatory policy that will continue to harm and prevent children and families from moving beyond the impact of the global pandemic.’
Jobcentre workers are to be balloted in a move that could lead to industrial action. The move is in response to the Department for Work and Pensions’ (DWP) insistence that staff and customers return to jobcentres to deliver face to face services.
Civil service union PCS says that since 12 April, DWP “has been asking considerably more staff to return to jobcentres to carry out face to face interviews with customers. This is despite staff working from home successfully for up to a year, carrying out these interviews by phone.”
The union argues “that coronavirus still poses a threat to safety and that to extend services in jobcentres now is unsafe, and places staff, their families and customers at risk. We are therefore balloting PCS members working in jobcentres to ask if they would be prepared to take industrial action over DWP’s decision.”
The ballot is consultative and a further ballot of members would be required before strike action could take place.
PCS said its demands include “stopping the extension of face to face services, with face to face interviews taking place only with those identified as most vulnerable until the vaccine programme is complete and low rates of infection have been sustained for a significant period.
“We are also asking that DWP sticks to the agreement made in autumn last year, that work coaches can decide how to progress their own workload, including making decisions about how to interview customers.”
ThePCS trade union has condemned the decision to fully reopen jobcentres, reopen jobcentres, warning that it will increase the likelihood of avoidable Covid-19 infections.
Pre-lockdown opening hours for jobcentres will resume allowing a huge increase in face-to-face appointments for people to claim Universal Credit and other benefits.
However, the union has said that the move unnecessarily risks further outbreaks of Covid 19 and pointed out that DWP staff were delivering services to claimants successfully, working from home.
PCS are clear that the vast bulk of the interviews now expected to be done face to face can still be carried out remotely, and fear the real driver for targeting 18-24 year old UC claimants and customers in receipt of JSA back in to jobcentres, is less about providing much needed support to customers and more about reinstating the previous labour market and conditionality regime which saw thousands sanctioned, having their benefits removed.
The government’s instruction for civil servants to work from home if they can, is also still in place.
PCS said DWP management had ignored their concerns over potential Covid outbreaks, and the union added that its members would now consider all options, including taking strike action.
General Secretary Mark Serwotka said: “This reckless move by Ministers is wholly unnecessary and risks putting both claimants and job centre staff in harm’s way.
“DWP staff have been doing an incredible job delivering key services such as Universal Credit and helping those most in need, access the assistance they require, throughout the pandemic.
“It is counterproductive and arrogant for ministers to risk staff and the wider public’s health by resuming normal jobcentre opening hours before the vaccine is fully rolled out and when these services are being successfully delivered from home.
“The anger of our members is palpable and we are not ruling out strike action, until a just settlement is found.”
More than 150,000 jobseekers across Great Britain will benefit from new employment support, helping them build their interview skills, find local vacancies and quickly get back into work.
New Job Finding Support service launched to benefit 160,000 people over the next year
Support ranges from job searches and interview practice to advice on how to switch careers
Service to run in parallel to existing support available in jobcentres and by work coaches, as part of UK Government’s Plan for Jobs
A new team of 325 Job Search Advisers are now available online or over the phone, to support those recently unemployed who already have the skills and experience needed to move into a new career, but might not be sure where to start.
Over the next 12 months, an expected 160,000 jobseekers will receive digital support and advice, as part of a new Job Finding Support (JFS) service in a further boost to the Government’s Plan for Jobs.
The ‘quick-fire support’, which takes place across four one-to-one sessions and aims to be completed in a matter of weeks, offers mock interviews, help to identify transferable skills and advice on how to switch industries, as well as online group sessions to improve job search techniques.
Secretary of State for Work and Pensions Therese Coffey (above) said: “Job Finding Support will help jobseekers brush up on interview skills and advice, giving them a helping hand to move back into work quickly.
“Our Plan for Jobs is helping us build back better and fairer, getting job support to people who need it right across Britain and levelling up opportunity.”
The service is completely voluntary to all jobseekers who have been unemployed for less than 13 weeks and are claiming benefits. Participants are referred to the scheme through their Work Coach.
As the Department for Work and Pensions drives forward the Plan for Jobs, it has supported over 40,000 people to retrain and upskill on the Sector-based Work Academy Programme; and recruited 8,500 new Work Coaches to spearhead efforts to get Britain working again.
Chief Executive of ERSA, Elizabeth Taylor, said: “The government’s Plan for Jobs package of labour market initiatives is helping people to provide for their families throughout the pandemic, and Job Finding Support is another important step in helping jobseekers in these difficult times.”
Job Finding Support will run in parallel to existing support that is available in jobcentres, and will complement the role of Work Coaches who provide more intensive support for jobseekers, including anyone facing specific difficulties returning to work.
This service will also free up frontline staff as they continue to help people access the financial support they need through the welfare safety net.
The devolved administrations have united to call on the UK Government to ensure those who are entitled to financial support are receiving it.
Social Security Secretary Shirley-Anne Somerville has joined Ministers from Wales and Northern Ireland in writing to the Secretary of State for Work and Pensions, Thérèse Coffey, asking to work together to create a benefit take-up strategy.
The devolved nations have also asked the UK Government to make permanent the current £20 a week increase for Universal Credit (UC) and extend it to the benefits which will eventually be replaced by UC, such as Working Tax Credits. The uplift was introduced to help low-income families cope with the extra cost of the COVID-19 outbreak, and is to come to an end in April 2021.
Ms Somerville said: “It’s vital that we make every effort to ensure everyone is aware of and able to access the support available to them.
“Maximising benefit take-up is a moral obligation, especially in these uncertain times when there is clear evidence of increased need for support.
“The £20 uplift was needed before the pandemic, and so it is vital now. People must be given the certainty that it will be made permanent and that they are not facing a cliff edge in a matter of months when this support is pulled.”
The Welsh Government’s Deputy Minister for Housing and Local Government Hannah Blythyn said: “The pandemic will cast a long shadow on those who are most in need and has reiterated the importance of a robust financial safety net for individuals and families, ensuring existing funding programmes have the maximum impact on the lives of those in poverty.
“Having a strategic UK approach will ensure that everyone can get the support they need during this difficult time.”
The Scottish Government published its first Benefit Take-up Strategy in October 2019, and will publish the next one by October 2021.
Northern Ireland’s benefit take-up initiative Make the Call has generated over £260 million in additional annual benefits for its residents since 2005.
It aims to ensure that every individual and household is receiving all the social security benefits and other supports and services to which they are entitled. The most recent results for 2019/20 show that this has benefited just under 10,000 people who are now better off by an average of £88 per person per week.
The Department for Work and Pensions has no published approach to promoting UK benefits or supporting people to access the money which they are due.
Many people need to be in receipt of a DWP benefit in order to claim other benefits – for example the Scottish Child Payment, where eligibility is reliant on receipt of UC, or Pension Credit which means people can claim a Council Tax reduction, or those over 75 qualify for a free TV licence. So it is vital people are aware of what they are entitled to.
As part of their Benefit Take-up Report – published 11 March 2020 – the Scottish Parliament’s Social Security Committee recommended that the UK Government develops a strategy that aims to maximise take-up of reserved benefits across the UK.
A report by the National Association of Welfare Rights Advisors, published in September, showed a 40% reduction in claims for Personal Independence Payment (PIP) being made during the pandemic. Almost 90% of those surveyed have never seen a take-up advert for PIP.
Independent Age has called for ‘an ambitious action plan detailing how the UK government will work to increase the uptake of Pension Credit over the next five years’. More details here.
This follows research which concluded that if Pension Credit take-up was lifted from 61 per cent to 100 per cent, then almost 450,000 pensioners could be lifted out of poverty, reducing pensioner poverty to its lowest ever level, and resulting in substantial savings to the NHS and social care systems over the long term.
New approach will ensure dignity, fairness and respect
There will be no DWP- style assessments to access disability assistance under the new Scottish social security system, says Social Security Minister Shirley-Anne Somerville.
Decisions will be made using information gathered through the applications process including from health care providers
Should more detail be required to make decisions on an application for the new Adult Disability Payment, it will be gathered through a consultation which will be based on a conversation between a healthcare professional employed by the Scottish Government and the client. There will be no private sector involvement in this process.
Most consultations will be by phone but can be face to face in a GP practice or even at home, whatever works best for the person applying. No-one will be asked to carry out tasks in order to prove the impact of their disability or health condition.
Cabinet Secretary for Social Security and Older People, Shirley-Anne Somerville, said: “Two of our principles enshrined in law is that social security is a public service and an investment in people – it is there for all of us when and where we need it. So no one should ever experience stress when accessing the support they are entitled to.
“People who require disability assistance will already face a number of challenges and interacting with a benefit system shouldn’t become another one. That is why I am pleased to set out plans for Scotland’s new system – plans that will make sure that people are treated with dignity, fairness and respect.
“We want people to feel that they have been treated well and fairly at every stage – from having an application form that is clear and easy to use right through to how we make sure someone is still able to access money when they want to appeal our decisions.
“Getting rid of degrading assessments that our Experience Panels told us were ‘traumatic and intrusive’ is the right thing to do. It is an obvious change but one that will make a massive difference to people.
“I’d like to thank the people who have worked with us to design this service – the volunteers on our Experience Panels and stakeholders. Together we will deliver a markedly different benefit system and create a public service that we can all be truly proud of.”
As the clocks go back this Sunday check if you are eligible for the UK Government’s Cold Weather Payments Scheme.
£27 million in total paid out in 2018-19.
£25 cash available for every week of cold weather between 1st November and 31st March.
As the nights get longer, the clocks go back and the temperatures drop you could be entitled to cash from the UK Government to help with your energy bills and keep your home warm.
Cold Weather Payments total £25 for each seven days of actual or forecast temperatures below freezing in your area between 1st November and 31st March.
If you receive Pension Credit, Income Support, income-based Jobseeker’s Allowance, Employment and Support Allowance, Universal Credit or Support for Mortgage Interest then you may be eligible.
Baroness Stedman-Scott said:“Winter can be a difficult time for people, and our Cold Weather Payment will help you keep your home warm as temperatures drop.
“Payments are made automatically but if you think you might be eligible, you can check online to see if your area is due a payment and plan accordingly.”
Cold Weather Payments do not affect your other benefits.
UK Government Scotland Minister, Iain Stewart said:“Looking after our fellow citizens and protecting the vulnerable in our communities is more important than ever as we overcome the coronavirus pandemic.
“The UK Government is committed to helping those in need stay warm during a cold Scottish winter. We know the difference Cold Weather Payments make and I encourage people to check online to see if they’d be eligible to receive this additional UK Government support.”
More than half of children living in some constituencies are living in poverty after housing costs are factored in.
Highest rates of child poverty in London and Birmingham
Sharpest increases in child poverty in Midlands and northern cities.
Local authority and constituency data available below.
Child poverty has risen most sharply in parts of the Midlands and Northern towns and cities in the past four years, according to research published today by the End Child Poverty coalition showing the scale of the challenge faced by government if it is to realise its ambition to build back better and level up opportunities for children across the UK.
The research by Loughborough University shows that, before the pandemic, in some parts of the country the majority of children were growing up in poverty, once housing costs are taken into account.
The greatest concentrations of children living in poverty are in London, with London boroughs and parts of Birmingham dominating the list of local authorities where child poverty is highest. In a dozen constituencies in London and Birmingham, more than half the children are living below the poverty line.
Yet the research also shows that the problem is not confined to the UK’s two largest cities. In the last four years, child poverty has risen fastest in parts of the Midlands and Northern towns and cities. Middlesbrough and parts of Tyneside have seen child poverty rates soar by over 10 percentage points since 2014/15.
In the past, low incomes in these areas were counteracted by cheaper housing costs, but during the five years leading up to 2018/19, rents in other parts of the country have risen by the same amount as in the capital, so in places where incomes are being depressed, this is less likely to be offset by falling relative housing costs.
Many of these families find, that once their housing costs are paid, they do not have enough money to meet their children’s needs and are left no option but to turn to crisis help, like food banks, and are increasingly reliant on free school meals.
The impact of poverty on children is well documented with children from low income families more likely to experience worse physical and mental health; do less well in school; and have fewer opportunities in the future.
The coalition is calling on the Government to recognise the scale of the problem and its impact on children’s lives. They are urging the Government to set out an ambitious plan to tackle child poverty encompassing not only social security spending but the high cost of housing and childcare and investment in children’s services.
The report is based on data published by the Department for Work and Pensions in March 2020, and on estimates of the effect of housing costs on poverty rates produced by the Centre for Research in Social Policy at Loughborough University, based on survey evidence.
Earlier this year, Boris Johnson was rebuked by the statistics watchdog for his repeated misuse of child poverty statistics. The Statistics Authority upheld a complaint from the End Child Poverty coalition judging that on three separate occasions his statements on child poverty were ‘incorrect’.
Anna Feuchtwang, Chair of End Child Poverty which commissioned the research, said: “The Government can be in no doubt about the challenge it faces if it is serious about ‘levelling up’ disadvantaged parts of the country.
“This new data reveals the true extent of the hardship experienced by families on low incomes – the overwhelming majority of which were working households before the pandemic. The children affected are on a cliff edge, and the pandemic will only sweep them further into danger.
“The Prime Minister must urgently admit to the true extent of child poverty in our country rather than resorting to his own inaccurate statistics. An ambitious plan to put this shameful situation right would be transformational for millions of children.
“As a matter of urgency we are calling on the Chancellor not to go ahead with planned cuts to Universal Credit which would see families lose out on £1000 a year. Given today’s data, this cut is unconscionable.”
End Child Poverty is calling for an urgent Government plan to end child poverty including:
Uprating of housing assistance in line with inflation;
Retain the £20 uplift in Universal Credit introduced at the start of the pandemic, which the Government has indicated will end in April 2021(a move supported by over 63k people and counting who have signed a petition to the Government);
End the benefit cap and the two-child limit on benefits;
Invest in all children with an increase to child benefit
Extend Free School Meals to all families in receipt of Universal Credit and those with No Recourse to Public Funds
The full report ‘Local indicators of child poverty after housing costs, 2018/19’, as well as tables with local data, are available at: www.endchildpoverty.org.uk
THE PICTURE IN SCOTLAND
Child poverty has risen in nearly every Scottish local authority and Westminster constituency since 2014/15, according to research published today by the End Child Poverty coalition.
The new data shows the scale of the challenge faced by UK, Scottish and local government if commitments to end child poverty in Scotland are to be met and the promise to level up opportunities for children across the UK realised.
The research by Loughborough University shows that, even before the pandemic, levels of child poverty in Scotland ranged from one in seven children in the Shetland Islands to nearly one in three in Glasgow, once housing costs are taken into account. The varying impact of housing costs on levels of child poverty in different parts of the country is highlighted.
The data shows London boroughs and parts of Birmingham dominating the list of UK local authorities where child poverty is highest – however the campaigners say that there can be no room for complacency in Scotland.
They highlight that the impact of poverty on children is well documented with children from low income families more likely to experience worse physical and mental health; do less well in school; and have fewer opportunities in the future.
The coalition is calling on the UK Government to recognise the scale of the problem and its impact on children’s lives. They are urging UK Ministers to set out an ambitious plan to use Westminster powers to tackle child poverty across the UK, and are asking the Holyrood government to build on the Scottish child poverty delivery plan already in place.
They welcome the new Scottish child payment which will see eligible children under six entitled to £10 per week additional support from February 2021, with all under 16s benefitting by the end of 2022.
However they say that just to stop child poverty rising will require a doubling in the value of the new payment, and that families need urgent cash support now to bridge the gap until it’s roll out.
The report is based on data published by the Department for Work and Pensions in March 2020, and on estimates of the effect of housing costs on poverty rates produced by the Centre for Research in Social Policy at Loughborough University, based on survey evidence.
Earlier this year, Boris Johnson was rebuked by the statistics watchdog for his repeated misuse of child poverty statistics. The Statistics Authority upheld a complaint from the End Child Poverty coalition judging that on three separate occasions his statements on child poverty were ‘incorrect’.
Speaking on behalf of members of End Child Poverty in Scotland, John Dickie, said: “The Prime Minister must urgently face up to the true extent of child poverty across the UK rather than resorting to his own inaccurate statistics. An ambitious plan to put this shameful situation right would be transformational for millions of children in Scotland and across the UK.
“As a matter of urgency we are calling on the Chancellor not to go ahead with planned cuts to Universal Credit which would see families lose out on £1000 a year. Given today’s data, this cut is unconscionable.”
Mr Dickie also called for more action from government in Scotland: “Here in Scotland the Holyrood government’s child poverty delivery plan and prioritisation of the new Scottish child payment are hugely welcome.
“But these new figures highlight the importance of keeping housing costs affordable, the importance of reviewing the value of the Scottish child payment and the urgent need to use existing payment mechanisms, like local authority school clothing grants, to provide extra financial support to families right now.”
End Child Poverty is calling for an urgent UK Government plan to end child poverty including:
Uprating of housing assistance in line with inflation;
Retaining the £20 uplift in Universal Credit introduced at the start of the pandemic, which the Government has indicated will end in April 2021(retaining the uplift is supported by over 63k people who have signed a petition to the UK Government);
Ending the benefit cap and the two-child limit on benefits;
Investing in all children with an increase to child benefit
The full report ‘Local indicators of child poverty after housing costs, 2018/19’, as well as tables with local data, are available at: www.endchildpoverty.org.uk
Children living in poverty, below 60% median income after housing costs, by Scottish local authority
Local authority
Number
Percentage
Percentage point change (2015-19)
2014/15
2018/19
2014/15
2018/19
Aberdeen City
6439
7471
19.2%
21.5%
2.3
Aberdeenshire
7622
7938
15.6%
16.1%
0.5
Angus
4253
4608
21.6%
24.0%
2.4
Argyll and Bute
2876
3056
21.2%
23.4%
2.2
City of Edinburgh
14145
15295
18.8%
19.5%
0.7
Clackmannanshire
2250
2409
24.8%
26.8%
2.0
Dumfries and Galloway
5610
6141
23.4%
26.2%
2.8
Dundee City
5812
6540
24.5%
27.3%
2.8
East Ayrshire
5250
5899
24.8%
27.9%
3.1
East Dunbartonshire
2899
3109
15.7%
16.1%
0.5
East Lothian
4188
4489
22.3%
23.3%
1.0
East Renfrewshire
2791
2940
15.4%
15.2%
-0.2
Falkirk
6555
6929
23.1%
24.5%
1.4
Fife
15390
16993
24.0%
26.3%
2.4
Glasgow City
26146
31823
27.0%
31.8%
4.8
Highland
8637
9054
21.5%
23.0%
1.6
Inverclyde
2904
3013
22.1%
23.8%
1.7
Midlothian
3713
4068
22.8%
23.2%
0.4
Moray
3480
3617
21.0%
22.4%
1.5
Na h-Eileanan Siar
768
847
17.3%
19.5%
2.2
North Ayrshire
5895
6448
25.2%
28.3%
3.0
North Lanarkshire
15503
16528
24.4%
26.2%
1.8
Orkney Islands
691
779
19.8%
21.9%
2.1
Perth and Kinross
5013
5403
20.4%
22.2%
1.7
Renfrewshire
6083
6958
20.2%
23.0%
2.8
Scottish Borders
4132
4544
21.6%
23.9%
2.3
Shetland Islands
549
608
12.8%
14.4%
1.6
South Ayrshire
4167
4404
23.3%
25.0%
1.7
South Lanarkshire
12083
12799
22.0%
23.2%
1.2
Stirling
3168
3285
20.5%
21.3%
0.8
West Dunbartonshire
3861
4310
24.6%
27.4%
2.8
West Lothian
7632
8380
21.7%
23.7%
1.9
Child poverty, % of children below 60% median income, before (BHC) and after (AHC) housing costs, by Scottish local authority
2018/19
2018/19
BHC
AHC
percentage point difference
between BHC and AHC
Aberdeen City
14.9%
21.5%
6.6
Aberdeenshire
10.4%
16.1%
5.7
Angus
17.6%
24.0%
6.4
Argyll and Bute
17.3%
23.4%
6.1
City of Edinburgh
12.6%
19.5%
6.9
Clackmannanshire
20.8%
26.8%
6.0
Dumfries and Galloway
20.6%
26.2%
5.6
Dundee City
21.4%
27.3%
5.9
East Ayrshire
22.9%
27.9%
5.0
East Dunbartonshire
10.4%
16.1%
5.7
East Lothian
15.8%
23.3%
7.5
East Renfrewshire
10.0%
15.2%
5.2
Falkirk
18.1%
24.5%
6.4
Fife
20.5%
26.3%
5.8
Glasgow City
28.0%
31.8%
3.8
Highland
16.7%
23.0%
6.3
Inverclyde
17.7%
23.8%
6.1
Midlothian
15.7%
23.2%
7.5
Moray
16.1%
22.4%
6.3
Na h-Eileanan Siar
13.4%
19.5%
6.1
North Ayrshire
23.4%
28.3%
4.9
North Lanarkshire
20.6%
26.2%
5.6
Orkney Islands
15.6%
21.9%
6.3
Perth and Kinross
15.7%
22.2%
6.5
Renfrewshire
16.9%
23.0%
6.1
Scottish Borders
17.6%
23.9%
6.3
Shetland Islands
9.3%
14.4%
5.1
South Ayrshire
19.2%
25.0%
5.8
South Lanarkshire
17.2%
23.2%
6.0
Stirling
14.9%
21.3%
6.4
West Dunbartonshire
21.9%
27.4%
5.5
West Lothian
17.1%
23.7%
6.6
Child poverty, % of children below 60% median income after housing costs (AHC), by Westminster constituency
Parliamentary constituency
Number
Percentage
Percentage point change (2015-19)
2014/15
2018/19
2014/15
2018/19
Aberdeen North
3334
4087
22.0%
26.5%
4.5
Aberdeen South
1925
2322
13.9%
16.0%
2.1
Airdrie and Shotts
4151
4410
25.5%
27.2%
1.7
Angus
3320
3649
22.9%
25.7%
2.8
Argyll and Bute
2809
3021
20.6%
23.2%
2.5
Ayr, Carrick and Cumnock
3913
4212
26.2%
28.6%
2.5
Banff and Buchan
3246
3365
20.1%
20.8%
0.7
Berwickshire, Roxburgh and Selkirk
3436
3886
22.4%
25.2%
2.8
Caithness, Sutherland and Easter Ross
2385
2546
23.1%
25.6%
2.5
Central Ayrshire
3630
3959
24.7%
27.0%
2.3
Coatbridge, Chryston and Bellshill
4294
4548
24.0%
25.9%
1.8
Cumbernauld, Kilsyth and Kirkintilloch East
3398
3745
21.3%
23.3%
2.0
Dumfries and Galloway
3753
4058
24.3%
26.8%
2.5
Dumfriesshire, Clydesdale and Tweeddale
3014
3310
21.2%
23.8%
2.6
Dundee East
3385
3607
21.5%
23.1%
1.7
Dundee West
3236
3801
24.6%
28.2%
3.6
Dunfermline and West Fife
3887
4342
21.1%
23.2%
2.1
East Dunbartonshire
2289
2292
16.2%
15.6%
-0.7
East Kilbride, Strathaven and Lesmahagow
3242
3602
18.3%
20.3%
2.0
East Lothian
4172
5058
22.2%
26.2%
3.9
East Renfrewshire
3119
3326
17.2%
17.2%
0.0
Edinburgh East
2808
3088
21.6%
22.8%
1.2
Edinburgh North and Leith
2909
3116
19.0%
19.9%
0.9
Edinburgh South
2105
2180
14.7%
14.7%
0.0
Edinburgh South West
2884
3049
18.6%
19.2%
0.6
Edinburgh West
2432
2900
14.3%
15.8%
1.5
Na h-Eileanan an Iar
700
799
15.8%
18.4%
2.6
Falkirk
4274
4594
21.8%
23.8%
2.0
Glasgow Central
3859
5561
32.8%
41.3%
8.5
Glasgow East
4316
5313
27.1%
30.6%
3.5
Glasgow North
2473
2882
27.7%
31.2%
3.5
Glasgow North East
4150
4850
28.0%
33.4%
5.4
Glasgow North West
3672
4289
24.8%
29.0%
4.2
Glasgow South
3820
4350
26.4%
30.8%
4.4
Glasgow South West
4549
5298
28.0%
31.8%
3.9
Glenrothes
4390
4853
27.1%
29.8%
2.7
Gordon
2098
2550
11.5%
13.5%
2.0
Inverclyde
2818
2926
21.4%
23.2%
1.7
Inverness, Nairn, Badenoch and Strathspey
3697
3912
20.4%
21.5%
1.1
Kilmarnock and Loudoun
4091
4624
24.3%
27.6%
3.3
Kirkcaldy and Cowdenbeath
4706
5293
26.2%
29.2%
3.0
Lanark and Hamilton East
3673
3865
23.0%
23.8%
0.7
Linlithgow and East Falkirk
4885
5173
22.1%
22.5%
0.4
Livingston
4580
5152
21.2%
24.2%
3.1
Midlothian
3497
3843
21.4%
21.8%
0.4
Moray
3367
3552
20.4%
22.0%
1.6
Motherwell and Wishaw
4518
4821
26.2%
27.7%
1.5
North Ayrshire and Arran
3957
4237
24.8%
27.6%
2.8
North East Fife
2158
2402
18.9%
21.1%
2.3
Ochil and South Perthshire
3790
4031
21.2%
22.5%
1.3
Orkney and Shetland
1346
1470
17.3%
19.0%
1.7
Paisley and Renfrewshire North
2954
3421
18.7%
20.8%
2.0
Paisley and Renfrewshire South
2817
3380
19.8%
24.8%
5.0
Perth and North Perthshire
3438
3690
22.0%
23.8%
1.9
Ross, Skye and Lochaber
2399
2478
20.7%
22.3%
1.6
Rutherglen and Hamilton West
4491
4720
23.3%
24.4%
1.0
Stirling
3099
3202
20.0%
20.7%
0.7
West Aberdeenshire and Kincardine
1904
2139
10.2%
11.4%
1.2
West Dunbartonshire
3867
4305
24.7%
27.4%
2.7
About End Child Poverty
End Child Poverty is a coalition of organisations from civic society including children’s charities, child welfare organisations, social justice groups, faith groups, trade unions and others, united in our vision of a UK free of child poverty. For more details visit: www.endchildpoverty.org.uk
End Child Poverty members in Scotland include Aberlour, Action for Children, Barnardo’s Scotland, Child Poverty Action Group (CPAG) in Scotland, Children 1st, Close the Gap, Engender, One Parent Families Scotland, Oxfam Scotland, Poverty Alliance, and Save the Children.
The 20 UK constituencies with the highest increases in AHC (after housing costs) child poverty 2014/15 -2018/19
Constituency
% of children below 60% median income AHC
2014/15
2018/19
%age point increase
UK
28%
30%
2%
Middlesbrough
31.2%
47.2%
16.0%
Newcastle upon Tyne Central
31.7%
45.2%
13.5%
Birmingham Hodge Hill
40.5%
53.8%
13.4%
Bradford West
34.9%
47.8%
12.9%
Birmingham Ladywood
41.8%
54.5%
12.7%
Birmingham Yardley
32.4%
44.7%
12.4%
South Shields
28.2%
39.3%
11.1%
Bradford East
36.4%
46.9%
10.5%
Newcastle upon Tyne East
27.1%
36.8%
9.7%
Bolton South East
37.1%
46.7%
9.6%
Sedgefield
23.5%
33.0%
9.5%
Hartlepool
27.6%
37.1%
9.5%
Oldham West and Royton
38.5%
48.0%
9.4%
Gateshead
26.0%
35.3%
9.3%
Blackburn
38.1%
47.3%
9.2%
Jarrow
23.5%
32.6%
9.1%
Middlesbrough South and East Cleveland
24.2%
33.2%
9.0%
Manchester Gorton
38.6%
47.6%
9.0%
North Durham
24.3%
33.3%
9.0%
Easington
25.8%
34.6%
8.8%
The 20 UK constituencies with the highest AHC compared to BHC (before housing costs) poverty rates, 2018/19
People who have lost their jobs or who are at risk of redundancy as a result of coronavirus (COVID-19) can access support to retrain through a new fund launched by Economy Secretary Fiona Hyslop this week.
The £25 million National Transition Training Fund – a flagship Programme for Government commitment – will help up to 10,000 people aged 25 and over to develop the skills required to move into sectors with the greatest potential for future growth and job opportunities.
The fund will help to boost the supply of skills in areas such as sustainable green jobs and raise the profile of training opportunities linked to Scotland’s transition to a net zero economy.
Ms Hyslop said: “This is a very worrying time for many people – particularly for those working in sectors most affected by the pandemic and whose livelihoods are at risk.
“That is why we are doing everything we can to protect jobs and ensure that people faced with redundancy can get back to work as quickly as possible.
“The National Transition Training Fund will help people take advantage of the jobs available in growth areas of the economy, such as digital and green technologies.It will also be responsive to industry needs and targeted towards the most exposed sectors including oil and gas, aviation and tourism.
“As we recover from the pandemic, it is our ambition to create a stronger, more resilient, more sustainable economy. Ensuring people have the right skills to futureproof their careers will be crucial in achieving that goal.”
Skills Development Scotland will be responsible for the initial £11 million phase of the fund, which is now live and will help up to 6,000 people by March 2021.
People accessing the fund will be in control of their own training plan but will have the support of advisers with knowledge of local job opportunities so they can make informed decisions about their future career.
Frank Mitchell, Chair of SDS, said: “The National Transition Training Fund is an important part of the plan for how Scotland can emerge strongly from this crisis with more of the skills that will drive our future economy.
“For anyone currently facing or dealing with redundancy, the fund offers the chance to get vital training offering a pathway towards jobs in growth areas.
“For employers, it’s also an opportunity to access some of the most in-demand skills that are needed to speed up economic recovery and return to growth.”
Stuart McKenna, Chief Executive of the Scottish Training Federation, said: “We welcome the introduction of this new fund which will help people re-shape and develop their existing skills – and through bespoke support, develop a portfolio of skills much needed in growth sectors.
“The focus on ensuring that people have control over their own training plan is particularly welcome. This will promote ownership of their future career and allow them to develop the skills that will give the best opportunities in their specific circumstances.”
The first phase of the National Transition Training Fund will be administered by Skills Development Scotland (SDS) on behalf of Scottish Government, with work coaches from the Department for Work and Pensions (DWP) and PACE advisers from SDS providing advice and support. Two further strands will launch this autumn.
The Fund is open to anyone aged 25 or over who is unemployed, economically inactive or at risk of unemployment due to the impact of Covid-19.
