Summer Holidays – but not for all …

Can’t afford to get away on holiday this summer? You’re not alone – it’s a Europe-wide issue, as EC economic analyst M. Vaalavuo explains ...

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Schools are closed, summer holidays are here, and also this blog is having its well-deserved summer break. Like many of you, authors of Evidence in Focus are leaving their desks to travel in Europe and beyond. However, without wanting to spoil your holidays, this may be a good time to recall that 39 per cent of Europeans cannot afford paying for one week annual holiday away from home.

This is a form of deprivation that is taken into account in the calculation of the EU’s indicator of the risk of poverty and social exclusion (AROPE) which counts people who face

  1. monetary poverty (discussed already in several blog posts e.g. comparing the situation of young and old Europeans and looking at parental employment and child poverty), and/or
  2. low work intensity, and/or
  3. severe material deprivation.

The last one is an absolute measure of living standards that complements the measure of relative monetary poverty (people with disposable income below 60 % of the country’s median income). The EU severe material deprivation rate is currently defined as the share of the population living in households that cannot afford at least four out of nine items. 8.9 per cent of the EU population were in this situation in 2014.

One week annual holiday away from home is one of these nine items. Other items are for example the capacity to face unexpected financial expenses, to afford a washing machine or a car, and the ability to avoid arrears in mortgage or rent payments. The most prevalent forms of deprivation concern holidays and the capacity to cope with unexpected expenses.

Across countries, there is a huge variation in the share of people who cannot afford holidays away from home (see chart). In the Nordic countries, Luxembourg, the Netherlands and Austria, fewer than 20 per cent of the population are deprived of an annual holiday in 2014, while in Hungary, Croatia and Romania this concerns more than 60 per cent.

Not surprisingly, people who are at risk of monetary poverty are also most likely to be deprived of holidays away from home: 70 per cent of them cannot afford holidays. But even among those who are not poor in monetary terms, a third is deprived of holidays away from home.

However, the situation is improving in many countries. Since 2008, the share of people not affording holidays away from home has decreased in 15 EU Member States: especially in Poland (11 pp.), Malta (10 pp.), Portugal (9 pp.), Austria (9 pp.), and Bulgaria (9 pp.). Furthermore, after an initial increase in the share from 2008 to 2010 in the Baltic countries, the share has since then fallen in Lithuania by 20, in Latvia by 18 and in Estonia by 16 percentage points. This development can be considered a real improvement in living conditions of these people, but it still leaves us many to be worried about.

After the holdidays … Evidence in Focus will be back in September. We wish you a great summer!

Author M. Vaalavuo is a socio-economic analyst in the unit of Thematic Analysis of DG EMPL

The views expressed in this article are those of the authors and do not necessarily reflect the views of the European Commission.

Editor’s note: this article is part of a regular series called “Evidence in focus“, which will put the spotlight on key findings from past and on-going research at DG EMPL

European Health Insurance Card

European Health Insurance Card

What is the European Health Insurance Card?

A free card that gives you access to medically necessary, state-provided healthcare during a temporary stay in any of the 28 EU countries, Iceland, Lichtenstein, Norway and Switzerland, under the same conditions and at the same cost (free in some countries) as people insured in that country.

Cards are issued by your national health insurance provider.

Important – the European Health Insurance Card:

  • is not an alternative to travel insurance. It does not cover any private healthcare or costs such as a return flight to your home country or lost/stolen property,
  • does not cover your costs if you are travelling for the express purpose ofobtaining medical treatment,
  • does not guarantee free services. As each country’s healthcare system is different services that cost nothing at home might not be free in another country.

Please note: when you move your habitual residence to another country, you should register with the S1 form instead of using the EHIC to receive medical care in your new country of habitual residence.

 

Thousands of struggling Scots aided by crisis fund

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More than 200,000 low income households have received grants to help them through difficult times, thanks to the Scottish Welfare Fund. New figures show that since the scheme was set up in April 2013, £97.9 million worth of grants have been given to nearly 204,000 households in Scotland. Continue reading Thousands of struggling Scots aided by crisis fund

Childcare costs: Rowntree Foundation calls for radical overhaul

mother and childNew research from the independent Joseph Rowntree Foundation (JRF) highlights the impact the prohibitive cost of childcare has on parents’ ability to make ends meet and care for their children – even taking into account the rise in the National ‘Living Wage’.

Continue reading Childcare costs: Rowntree Foundation calls for radical overhaul

Brexit voters felt ‘ignored and left behind’

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The independent Joseph Rowntree Foundation (JRF) is calling for a renewed drive to solve poverty, as new research reveals the extent people feel disconnected from the UK’s economic growth and how their concerns are ignored by the political establishment.

Following last month’s Brexit vote, which revealed deep divisions in British society, a poll of over 2,000 people conducted by Populus for JRF has revealed that those who voted for Brexit feel left behind by economic growth and ignored by politicians.

In one of the first polls after Brexit, it presents a clear instruction for the next government to ensure things do not return to ‘business as usual’ for people and places who feel left behind. The new Prime Minister, Theresa May, has said her premiership will focus on uniting the country and carrying out a programme of social and economic reform.

The findings show:

  • Brexit voters are twice as likely to feel their local area doesn’t get its fair share of Britain’s economic success (23% vs 11%), and that their local area has been neglected by politicians (27% vs. 13%).
  • Brexit voters are also nearly twice as likely to believe that national government does not listen to their concerns (40% vs. 23%).
  • Brexit voters are more likely to believe wealth in the UK is not fairly distributed, and that they do not personally benefit from economic growth in the UK. In all cases, Brexit voters on low incomes were more likely to share these sentiments than those on higher incomes.
  • Brexit voters feel more optimistic about their family’s future, although poorer Brexit voters less so. Asked whether they ‘feel optimistic about my family’s future’, 48% of DE Brexit voters agreed compared to 62% among AB Brexit voters.
  • Brexit voters feel more optimistic about the country’s future, although poorer Brexit voters less so. 61% of DE Brexit voters agreed with this sentiment compared to 70% among AB Brexit voters.

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This comes as separate polling for JRF shows poverty is a rising concern among the public as social mobility is perceived to be moving backwards. The poll, conducted a week before the Brexit vote and released yesterday, revealed:

  • 90% of those polled say poverty reduction is task for central government
  • Two thirds of people think poverty has increased over the last decade
  • 52% believe it is harder for those living in poverty to escape than it was 10 years ago – compared to just 15% who say it’s easier.

JRF is calling for urgent action to tackle poverty and prevent further economic and social division. In September JRF will be launching a comprehensive strategy to solve poverty, outlining how national and local government, businesses and citizens can each play their part.

Julia Unwin, Chief Executive of JRF, said: “The reasons for people’s vote in the referendum are complex, but this clearly shows that millions of people up and down the country feel left behind by economic growth and ignored by those elected to serve them.

“We believe Britain will be stronger if we solve poverty, giving everyone regardless of their background the chance to live a decent and secure life. Yet instead we’re seeing a real sense that it’s harder to get on than it used to be and poverty is on the rise.

“The result of the EU referendum shows we cannot afford to return to business as usual for the poorest people and places across the UK. It is vital that politicians seize this opportunity to show that they are listening, and work not only across party lines but in collaboration with business, individuals and local communities to solve poverty once and for all.”

Poverty misery: blame Westminster!

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Investment in addressing the deep-rooted causes of poverty would be greatly increased if the Scottish Government wasn’t being continually forced to spend money on tackling the negative impact of UK Government welfare cuts. That was the message from new Social Security Minister Jeane Freeman ahead of her first keynote address to the Child Poverty Action Group’s annual conference. Continue reading Poverty misery: blame Westminster!

One in Five: a tale of two cities

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Edinburgh is a city with two faces. There’s the public face – the international festival city teeming with tourists with it’s castle, quaint Old Town, splendid new town, galleries and parks. That’s the Edinburgh the visitor sees.

And then there’s the other face: for every leafy suburb we have communities where everything in the garden’s far from rosy. For every Duddingston there’s a Craigmillar, for every Cramond a Wardieburn. Yes, Edinburgh is a rich, vibrant affluent city – and yet ONE in FIVE of our children grows up in poverty.

Child poverty awareness training is to be rolled out at all schools in Edinburgh after a successful year long pilot project run by the City of Edinburgh Council.

‘1 in 5 Raising Awareness of Child Poverty in Edinburgh’ proved so successful it has even ‘changed the culture’ of some of the six pilot schools.

The project took place in five primary and one high school, working with staff, pupils and parents to raise awareness of the scale, causes and impacts of child poverty. It also challenged poverty-related stigma and looked into what practical actions could be taken by schools to make school more affordable for families on low incomes.

The six schools which took part in the pilot study were Royal High, Dalry, Gracemount, Hillwood and Sciennes primary schools and Broughton High School.

The schools were chosen to represent a wide social mix. In the case of the primary schools, each has at least 50 pupils eligible for free school meals, and Broughton High School has one of the highest numbers of pupils eligible for free school meals (175) in the city. The primary schools in the Craigroyston cluster were also consulted.

The report makes key recommendations relating to school uniforms, food/drink, school trips, events, raising awareness and curriculum.

Lucy Henderson, Head Teacher at Hillwood Primary School, said the project had changed the culture of her school.

She said: “The impact of the 1 in 5 Project has been huge as staff, pupils and parents have changed the way they think about poverty. Pupils realise that poverty doesn’t just affect children in Africa, it affects pupils in schools throughout Scotland.

“We have made lots of changes this year such as providing PE kits for families to rent every term, the setting up of a Pop-Up shop for school items and giving parents more notice of school trips so they can plan ahead financially.

“However we are all aware that this is a work in progress and we know there are further measures that we can take to reduce the cost of the school day for all our families.”

Councillor Paul Godzik, Education, Children and Families Convener for the City of Edinburgh Council, said: “The 1 in 5 Project has had a dramatic impact in the pilot schools by challenging people’s perceptions of child poverty and addressing the barriers that exist within the community so it’s really positive news that we are now going to be rolling out across the rest of our schools.

“The project demonstrated that by raising awareness of child poverty, which affects over 21% of young people in the Capital, we can all make a real difference when it comes to tackling this issue.

“It’s a fact that children from poorer backgrounds lag behind at all stages of education so it’s important we do all we can to close the attainment gap and we will continue to work closely with our partner agencies to ensure everything is done to ensure children are given every opportunity to have the best possible start in life.”

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Some key statistics re child poverty in Edinburgh:

  • Just over 21% of children in Edinburgh live in poverty and this figure is forecast to increase significantly by 2020
  • Every area of the city is affected with each Council ward having child poverty rates of over 10%
  • It’s estimated that the cost of delivering services to address the impact in the Capital is around £156m a year.
  • Children are considered as living in poverty if they live in households with less than 60% of median household income – this is the key measure used by the UK and Scottish Governments.
  • This means a lone parent with two children is in poverty if they are living on less than £326 per week before housing costs are deducted. A couple with two children is in poverty if they have less than £416 per week before housing costs (Scottish Government, June 2015).

Raising awareness is welcome – but actively tackling the causes of poverty would be more welcome still.

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Bright outlook: STV’s Sean to visit local fundraisers

Sean’s stepping out for STV Children’s Appeal

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STV’s popular weather man Sean Batty is to pull on his walking boots for a major fundraising challenge in aid of the STV Children’s Appeal – and is asking people in Edinburgh to join in.  Continue reading Bright outlook: STV’s Sean to visit local fundraisers

The worst of times: 60,000 Scots families receive emergency aid

£81 million support for Scots in crisis

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More than 178,000 vulnerable households, including around 59,000 families with children, have received essential help to buy everyday products like nappies, food and cookers through the Scottish Welfare Fund. Continue reading The worst of times: 60,000 Scots families receive emergency aid

First Minister visits North Edinburgh Childcare

FM announces £1 million for early learning and childcare trials

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A report into what more the Scottish Government and others can do to tackle poverty in Scotland has been welcomed by First Minister Nicola Sturgeon. Ms Sturgeon used today’s visit to North Edinburgh Childcare to announce £1 million funding to support new early learning and childcare initiatives. Continue reading First Minister visits North Edinburgh Childcare