The reality of child poverty in the UKThe reality of child poverty in the UK
Itdoesn’thappenhere
By Neera Sharma with a commentary by Donald Hirsch
A member of the Campaign to End Child Poverty
‘Living in freezing temperatures’, ‘mothers surviving without food to feed their children’, and ‘scraping for pennies to buy warm clothes’.
These aren’t tales from Dr Barnardo’s time.
This is 2007.
Contents Page
2 Acknowledgements
3 Foreword
4 Executivesummary
8 Sectionone:CommentarybyDonaldHirsch
16 Sectiontwo:Poorchildreninblackandminorityethnicgroups
22 Sectionthree:Poorchildreninworkingfamilies
28 Sectionfour:Lone-parentfamilies
35 Sectionfive:Familiesaffectedbydisability
41 Sectionsix:Povertyinlargefamilies
46 Sectionseven:Othervulnerablegroups
57 Sectioneight:Conclusion
58 Appendix1:Recommendations
61 Appendix2:Methodologicalnoteonprojections
62 References
63 Notes
2
Barnardo’sisgratefulforthehelpandadviceofDonaldHirsch,LisaHarker,DrPaulDornan,ChildPovertyActionGroup,KateBell,OneParentFamiliesandChristineLenehan,CouncilforDisabledChildren.WewouldalsoliketothankMikeBrewerandJamesBrownefromtheInstituteforFiscalStudiesforupdatingandextendingthefinancialmodellingonwhichthisreportdraws.
ManythankstoJulianWalker,SandraAnderson,PaulCarr,CarolineDay,MegFassam-Wright,SharonGibson,OwenGill,JaneGlover,SusieHarding,BarbaraHealy,JulieHealy,DustinHutchinson,KateKetcher,MaryLynn,AndreaMarie,KarenMcInnes,DrTonyNewman,EleanorPeters,NicolaSmithandCherylWhiteatBarnardo’s.TheeditingwasdonebySylviaPotter.
OurgreatestdebtofgratitudeistoallthefamiliesacrosstheUKwhotoldusabouttheirexperiencesofbringingupchildrenonalowincome.
Allnamesincasestudieshavebeenchangedtoprotecttheiridentities.Photosareofmodels.
PublishedbyBarnardo’sTannersLaneBarkingsideIlfordEssexIG61QG
Barnardo’sRegisteredCharityNumbers216250andSC037605
©Barnardo’s2007Allrightsreserved.Nopartofthisguide,includingimages,maybereproduced,storedonanunauthorisedretrievalsystem,ortransmittedinanyformorbyanymeanswithoutpriorpermissionofthepublisher.
ISBN978-1-904659-05-1
8878/KK/07
Acknowledgements
Itdoesn’thappenhere
3
ThisGovernment’s1999pledgetoendchildpovertyinagenerationwasitsboldest,mostexcitingandpotentiallymostfar-reachingsocialgoal.
Barnardo’scongratulatestheGovernmentoninvestmentssuchasSureStartandTaxCreditswhichhavehelpedtolift600,000childrenoutofpovertyinthelasteightyears.Thatwasaremarkableachievement,andatremendousstart.Butprogresshasnowstalled.
3.8millionchildrenintheUKstillliveinpoverty.Inhiscommentary,DonaldHirschshowsthat–withoutadditionalinvestment–theGovernmentislikelytomissitstargetofhalvingchildpovertyby2010notbyjustafewthousand,butby900,000.Sowecanexpectalmostamillionmorechildreninpovertyin2010thanweanticipatedin1999.
Andthis,inthefifthrichestnationintheworld.
Barnardo’switnesseseverydaytheimpactonchildrenandfamiliesoflivingingrindingpoverty.Childrenmissingoutonwhatmostwouldconsideressentials–agooddiet,awarmhome,schooltrips,books,birthdaytreats.Childrensufferingbullying,isolationandadeeppovertyofambition.Theseeffectscanlastalifetime–childrengrowingupinpovertyhaveworsehealth,worseexamresultsand,veryfrequently,willendtheiradultlivesstillinpoverty.Achildborninthe1970swaslesslikelytoescapepovertythanachildborninthe1950s.Childpovertynowcanbealifesentence:thatiswhyinvestmenttoreduceitissovital.
Bringingupchildrenwithoutsufficientmoneyiscruellydifficultforparentswhoseetheirchildrengoingwithoutsomuchwhichotherchildrentakeforgranted.Thosewespoketoforthisreportspokeclearlyoftheiranxiety,frustrationandhopelessness.AsoneofourMums,Heather,says:‘Youdon’texpectlifetogetanybetter,youjuststruggleallthetime.Youthinkthisislife.’
Butthingscangetbetter.Andtheymust.TheInstituteforFiscalStudiescalculatesthatanadditional£3.8billion,twothirdsof1percentofthisyear’spublicspendingandlessthanhalfthe£9billionpaidinCitybonuseslastyear,isneededtohalvechildpovertyinadecade.IfGovernmentchoosesnottomakethisinvestment,weallsuffer.Growinginequalitiesthreatentounderminethefabricofsociety.Andallowingcyclesofpovertytocontinuewillbringnotjustmoralbuteconomiccosts–arecentUSstudyestimatedthatchildrengrowinguppoorcosttheUSeconomy$500billionayear,ornearly4percentofGDP.Barnardo’sandtheCampaigntoEndChildPovertybelievethereisasimilareconomicimperativetoreducechildpovertyhere.Andthemoralcaseisselfevident:arichsocietysuchasoursisshamedifitchoosesnottomaketheinvestmentnecessarytogivepoorchildrenabrighterfuture.
ShortlyweshallhaveanewPrimeMinister.GordonBrown’sdeterminationtoforgeafairer,moreinclusivesocietyisnotindoubt.Hehasauniqueopportunity.HisactionsasPrimeMinistercouldmaketheUnitedKingdomabetterplaceforourchildren.
MartinNarey
ChiefExecutive,Barnardo’sandChairofEndChildPoverty
Foreword
4 Itdoesn’thappenhere
ExecutivesummaryIntroductionInMarch1999thePrimeMinistermadeahistoricandambitiouspledgetoendchildpovertywithinageneration.Therearenow600,000fewerchildrenlivinginpovertythaneightyearsago,forwhomqualityoflifeandfutureopportunitiesareimproving.Butfartoomanychildrenarestillleftbehind.Thelivesof3.8millionchildrenintheUK–Iin3–areblightedbypoverty.1ChildpovertyintheUKisdoublewhatitwasin1979andiswellabovetheEuropeanaverage.Afteraslowbutsteadyfallinchildpovertyfromthelate1990s,progressnowappearstohavestalledandoncurrentpoliciesthereseemslittleprospectoftheGovernmentmeetingitsmilestonetargetofhalvingchildpovertyby2010.
Thisreportlooksatthelivesofthepoorestchildren,basedoninterviewswithover40familieswithwhomBarnardo’sworksindifferentpartsoftheUK.Theinterviewsdemonstratetherealityoflifeforthosemostdeeplymiredinpoverty.Theseincludechildreninblackandminorityethnicfamilies,thoseinfamiliesstrugglingonlowwages,loneparentfamilies,familiesaffectedbydisabilityandlargefamilies.Thereportalsolooksatothervulnerablegroups,includingchildreninasylum-seekingfamilies,childreninpoorhousingandyoungpeoplelivingindependently.
Thecasestudiesillustratethedailygrindingstrugglethatlow-incomefamiliesfaceinprovidingadecentchildhoodfortheirchildren.
Theproblem:inadequateincomesandlowwages
In2005/06acouplewithtwochildrenlivingintheUKspentonaverage£642aweek.2
Thefamiliesinterviewedforthisreport
hadincomesfarlower,andinmostcaseswellbelowtheGovernment’sownpovertyline.3Forexample,Heather,4aloneparentwiththreechildren,islivingonbenefitsof£210.44aweek,5or£40.56belowtheGovernment’sownpovertyline.6AndJill,7aged17,livesonherownandisputtingherselfthroughcollegeon£75aweek.
Povertydoesnotonlyaffectchildrenwhoseparentsareoutofwork.MorethanhalfofpoorchildrenintheUKliveinfamilieswithatleastoneearner.8Endingchildpovertyrequiresredistributionthroughthetaxandbenefitssystemtoprovideanadequatesafetynetandtomakeworkpay.Italsorequireslong-termsolutionstoaddressthecausesofpoverty.
DetailsofpovertyfiguresandprojectionscanbefoundinAppendix2.
Keeping the child poverty promise
Byinvestinganextra£3.8billion
Keepingitspromisetohalvechildpovertyby2010willrequiretheGovernmenttospendatotalof£3.8billionmoreby2010thancurrentlyplanned.Oncurrentpolicies,thereislittleprospectofthe2010targetbeinghit.
Whatwouldthe£3.8billioninvestmentmean?
Withtheadditional£3.8billioninvestmenttherecouldbeby2010,(comparedwith2004/05):
n320,000fewerpoorchildreninlone-parentfamilies.
n90,000fewerpoorchildrenintwo-parentfamilieswhereoneparentworksfull-timeandtheotherparentdoesnotwork.
n240,000fewerpoorchildreninfamilieswithadisabledadult.
n50,000fewerpoorPakistaniandBangladeshichildren.
5Executivesummary
Withouttheadditional£3.8billioninvestmenttherecouldbeby2010(comparedwith2004/05):
n70,000morepoorchildrenintwo-parentfamilieswhereoneparentworksfull-timeandtheotherparentdoesnotwork.
n40,000morePakistaniandBangladeshichildrenlivinginpoverty.
n30,000morepoorchildreninlone-parentfamilies.
Inhiscommentaryinthisreport,DonaldHirschremindsusthat‘thebattletoreducechildpovertyhasreachedacriticaljuncture’.Thekeydriversforthefallinchildpovertytodate–moregeneroustaxcreditsandbenefitsandwelfaretoworkpolicies,willseediminishingreturns.Thisisbothbecausethefamiliesliftedoutofpovertythusfararelikelytohavebeentheeasiesttohelpandbecausethecurrentsystemforincreasingbenefitsandtaxcreditsallowsbenefitincomestofallrelativetoaverageearnings.
TomeettheGoverment’stargettohalvechildpoverty(definedbeforehousingcosts)thenumberofchildreninpovertyneedstofallfrom3.4millionin1999to1.7millionin2010.Itiscurrently2.8millionandneedstofallbyafurther1.1million.TheInstituteforFiscalStudies(IFS)hasestimatedthattheadditional£1billionspendingontaxcreditsannouncedinthe2007Budgetwillreducechildpovertybyafurther200,000by2010.ThiswillmeantheGovernmentmissingitstargetbysome900,000children.
OnthebasisoffurtherestimatesbytheIFS,whichtakeaccountofchangesinthe2007budget,the2010targetcouldbeachievedbyincreasingthechildelementofchildtaxcreditbyafurther£11aweekat2007pricesandgivingfamiliesanextra£20perweekforthethirdandsubsequentchildrenthroughthefamilyelementofthechildtaxcredit.ThiswouldmeantheGovernmentspending£3.8billionmorein2010thancurrentlyplanned.
Whatdoesthismeanforindividualgroupsofchildren?AfurtherbreakdownoftheestimatesfromtheIFSshowsthe
prospectsforthemostvulnerablechildrenwithandwithouttheextra£3.8billionspending(Figure1).
Figure 1: Projections of child poverty risks to 2010
Thefirsttwobarsforeachgroupshowthatformostgroupsofchildrentheriskofpovertywillchangerelativelylittlebetween2004/05and2010underpresentpolicies.Astarkexception,however,ischildrenfromPakistaniandBangladeshifamilies,whosealreadyhighriskofpovertyisverylikelytoincrease.ThemostrecentpovertyfigurespublishedinMarch20079seemtoshowthatpovertyforthisgroupisrising,andtheIFSprojectionssuggestthatthiswillcontinue,withabouttwo-thirdsinpovertyby2010.
Bygivingwiderhelptofamilies
Byinvestinganadditional£3.8billioninbenefitsandtaxcreditstheGovernmentcouldmeetthe2010target.Butawiderrangeofpolicyresponsesisnecessarytotackletherootcausesofchildpoverty–toremovebarrierstowork,toensurethatworkpaysandtoensurethatchildreninpovertynowareequippedtoescapetheirparents’fateandavoidbringinguptheirownchildreninpoverty.
2004/5 poverty rate
2010 on present policies
2010 with £3.8 billion investment
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6 Itdoesn’thappenhere
Employment–thecasestudiesshowthatmostparentswantedtoworkandsawthisasawayoutofpoverty,butexperiencedrealbarrierstogettingajobandstayinginit.Thelackof‘soft’skillsandqualificationskeepsmanyparents,especiallyloneparents,outofthelabourmarket.However,workisnotaguaranteedrouteoutofpovertyandSection3showshowlowwagesandthehighcostsofchildcaremeanthatparentslikeWilsonareoftennobetteroffinworkthanonbenefits.
TheGovernmentisrighttofocusonworkasthebestrouteoutofpoverty.Butatpresentgettingajobtoooftenmeansmovingfromworklesspovertytoworkingpoverty.AstherecentreportoftheEqualitiesCommission10madeclear,womenandmanyethnicminoritiesstillfacestructuraldisadvantageinthelabourmarket.Employersneedtotaketheirresponsibilitiesmoreseriouslytoenableworkingparentstocombineworkwithparentingresponsibilities.Andtoachievethehighskill,highproductivityworkforcenecessaryfortheUKtocompeteintheglobaleconomy,parentswhohavebeenmostdisengagedfromthelabourmarketneedtargetedhelptogetandtoprogressinwork.
Childcare–allfourUKgovernmentshavemadeasignificantinvestmentinexpandinghighqualitychildcare,particularlyindisadvantagedcommunities,throughprogrammessuchasSureStartLocal(nowchildren’scentres)andtheNeighbourhoodNurseriesInitiative.Thishasenabledmanypoorerparentstoaccesschildcareandtoreturntowork–92percentofparentsusingneighbourhoodnurseriessaidthatthishelpedthemtowork,with22percentsayingtheycouldnothaveworkedotherwise.Theimpactwasgreatestondisadvantagedgroups,includingloneparentsandthosewithnoorlowqualifications.11
SureStartChildren’sCentresandNeighbourhoodNurseriesbenefitedfromstart-upfunding,enablingthemtooffersubsidisedorevenfreeplacestothemostdisadvantagedfamilies.Newresearch
raisesdoubtsaboutthesustainabilityofsuchprovision,particularlyinpoorercommunities.Asstart-upfundingtapersoff,nurseriesareincreasinglychargingmarketrates,reducingstaffnumbersandofferingfull-timeplacesinsteadofpart-timeones.12Somemayevenhavetoclose.
Thecasestudiesshowhowthelackofappropriateandaffordablechildcarecontinuestobeabarrierforparentswhowanttogobacktowork.Helpwithchildcarecostsisavailablethroughthetaxcreditsystem13butthehighcostsofchildcare,especiallyforfamilieswithdisabledchildrenorthosecaringformorethantwochildren,havetheeffectofeitherkeepingfamiliesoutofthelabourmarketorleavingthemnobetteroffinwork.
Poverty in school holidays–forthemajorityofchildrenintheUK,schoolholidaysmeanholidaysawayfromhomeandexcitingeventsandtrips.Forfamiliesonalowincomeliketheonesinterviewedforthisreport,theymeanextrahardship–costsonessentialslikefoodgoupbutincomedoesn’t.Holidaysbecomeatimeof‘survival’.14Compensatingfamiliesforthelossoffreeschoolmealsinholidayswouldhelpeasethefinancialpressureandenablefamiliestoprovidesomesortofpositiveexperiencesduringholidays,suchasatriptothecinemaoradayout,andbuildonthegovernment’sinitiativetooffertwoweeksofpart-timeholidayprovisionforchildreneligibleforfreeschoolmeals.15
Fuel poverty16–a91percentincreaseintheretailpriceofgassince2003anda60percentincreaseinelectricitypriceshaveseenadramaticescalationinthenumbersofhouseholdslivinginfuelpoverty.In2005/06housingfuelandpoweraccountedforalmostonefifthofspendingintheUKbyhouseholdsatthebottomoftheincomedistributioncomparedtoonefourteenthforthoseinthetopfifth.17
Itisestimatedthat3.5millionhouseholdsintheUKarelivinginfuelpoverty.18,19Thisisexemplifiedbythefamilieswe
7Executivesummary
interviewed,manyofwhomwerestrugglingwithhighfuelcosts.Theywerepayingmorebecausemanyusedpre-paymentmeters(PPMs)tohelpwithbudgeting.Acrossthemainsuppliers,gasPPMcustomerspayanaverageof£70moreperyearthancustomersondirectdebitandelectricitycustomersanaverageof£103moreperyear.Somesuppliershaverecentlycutpricesinresponsetothefallinwholesaleenergyprices–butcustomersusingPPMshavebenefitedlessthanothers,ornotatall.20Thepoorestarebeingpenalisedfortakingprudentstepstomanagetheirmoneysothattheyareabletopayfortheirgasandelectricityastheyuseit.
IfallfourUKgovernmentsaretoeradicatefuelpovertyforvulnerablegroupsby2010andforeveryoneby2016theymustworkwithenergysupplierstoensurethatall
customersareonthecheapesttariffsandnotpenalisedbecauseoftheirmethodofpayment.
Debt–manyofthefamiliesinterviewedwereindebt,totheSocialFund,doorsteplendersorfriendsandfamily.ManyoftheseloansweretocoverthecostsofChristmas,birthdaysandessentialhouseholdgoods.Lenders,includingsomereputableHighStreetnames,arechargingbetween160percentand800percentinterestayearonloans,trappingfamiliesinaviciouscycleofdebt.21TheGovernmentmustgiveprioritytoendingthefinancialexclusionoflow-incomefamilies.ThisincludesaradicalreviewoftheSocialFund,whichisfailingtomeetcurrentlevelsofdemand:withreformitcouldpromotethefinancialinclusionofpoorfamilies.Banksalsoneedtoplaytheirpart.
The way forward
Barnardo’sisaskingtheGovernmenttokeepitspromisetomillionsofchildrentoendchildpovertywithinageneration.WecallontheWestminstergovernment,andwhereappropriate,thedevolvedgovernmentsofNorthernIreland,ScotlandandWales,todothefollowing:
nInvest£3.8billiontomeetthepromisetohalvechildpovertyby201022andinfutureincreasebenefitsandtaxcreditsinlinewithearningstostoptheincomesofthepoorestfamiliesfallingfurtherbehind.
nEstablishaUKcommissiononendingchildpoverty,chairedbythePrimeMinisterortheChancellor,whichwoulddeliveraroadmapsettingouttheinvestmentandpoliciesneededtohitthe2020target.
nAimallgovernmentfundingandprogrammesatbenefitingthepoorestchildrenthemost.23
nExtendaccesstohighqualitychildcarebyensuringadequatefundingtosustainchildcareprovisionindisadvantagedcommunities.Relianceonthemarketalonewillnotdeliverforourpoorestfamilies.
nTackletheadditionalhardshipinschoolholidaysbycompensatingfamilieswhosechildrengetfreeschoolmealsforthelossoftheseduringtheschoolholidays;24andworkingwithlocalauthoritiestoensurethataffordableandage-appropriateholidayactivitiesandchildcareareavailableforallchildren.
nTacklefuelpovertybyworkingwiththeprivatesectortomakesurethatallcustomersareonthecheapesttariffsforutilitiesandarenotpenalisediftheycannottakeadvantageofpaymentschemessuchasdirectdebit.
ForafullsetofrecommendationsseeAppendix1.
8 Itdoesn’thappenhere
SectiononeCommentarybyDonaldHirsch25
AboldambitionandtheindividuallivesthatliebehinditTheGovernment’stargetofendingchildpovertyinagenerationisitsmostambitioussocialgoal.EightyearsafterthePrimeMinistermadethispledge,thenumberofchildrenlivinginfamilieswithlowincomeshasfallensubstantially.However,thereremainsalongwaytogo,andthelatestevidenceseemstoshowthatchildpovertyhasnowstoppedfalling.AnalysisbytheJosephRowntreeFoundationshowsthatcontinuedprogresswillbetough,requiringbothasignificantamountofextrapublicredistributionandalargeimprovementintheopportunityforparentstosupporttheirownfamiliesbygettingdecentlypaidjobs.26
Onethingthatisclearfromthisanalysisisthatasolutionbasedsimplyonamechanisticredistributionofresourcestofamilieswhomthegovernmentcalculatestobepoor,thoughessential,isnotenoughonitsown.Along-term,affordablestrategyneedstoemployarangeofmeasurestohelpimprovefamilies’livesandtheopportunitiesopentothem.Accesstotraining,qualifications,transportandchildcareforexamplecaninfluenceaccesstojobsthatinturncanhelpliftfamiliesoutofpoverty.
Inordertounderstandboththenatureofthehardshipthatpovertyiscausingandthenatureofthesolutionsneededtotackleit,weneedtounderstandtheexperiencesoffamiliesfacingdifferentkindsofdifficulty.Thisreportmakesacontributiontothatunderstanding,bylookingatchildrenin
arangeofcircumstances.Itconsidersforexamplewhatitisliketobringupachildwithdisabilitiesonalowincome;whatextrastressesarefacedbyloneparents;whathasbeentheexperienceofpovertyofchildrenfromdifferentethnicbackgrounds;howitfeelstogrowupinpoorhousingorwithuncertainimmigrationstatus.
Suchcategoriesoftenoverlap,anditisimpossibletodefineachild’sexperiencessimplybywhich‘group’theybelongin:everyone’ssituationisunique.Nevertheless,itisusefultoconsidertheoverallprofileofindividualssharingcertaincharacteristicsthatincreasetheriskoffacingpovertyandrelatedhardships,alongsideexamplesofdifficultiesfacedbyindividualfamilies. Attheendofeachchapterprofilinggroupsinthisway,thisreportlooksatwhatkindsofsolutionswouldhelpfamilieswithineachgroup,includingtheparticularfamiliesdescribed.
Thus,bymeetingtheRobertsfamily(Section5),wewitnessthepressuresonparentswhohavetolookafterdisabledchildren.Inthiscase,thosepressureshavehadadevastatingimpactonthefamily’slife,includinglossofjobandhome.Inconsideringsolutions,weseehowthistragedymighthavebeenavertedthroughearlyinterventiontogivenecessarysupport.
Butnotallofthefamilieswemeetinthepagesthatfollowhave‘catastrophic’lives.TheeverydaypressuresexperiencedbyaloneparentsuchasHeather(Section4),whohasneverbeenabletotakeherchildrenonholidayandhassufferedfromdepression,reflectthesituation
9CommentarybyDonaldHirsch
ofthousandsoffamiliesthroughoutthecountry,forwhomlackofincomecontributestosteady,persistenthardship.Likemanyloneparents,shehasmadeunsuccessfuleffortstore-enterthelabourmarket.Shemighthavebenefitedfromgreatersupport.
Gettingintoemploymentisnot,however,thewholestory.Justoverhalfofchildrenonlowincomeshaveatleastoneparentwhoworks,andlowpayremainsaseriousproblem.InSection3wehearhowWilson,asinglewidowerbringinguptwoyoungchildren,worksfull-time,butontheminimumwage,andisplaguedbydebtsandhighchildcarecosts,andcannotaffordtobuythethingshischildrenneed.
Thisreportalsotellsstoriesshowinghowhavingalargefamily,livinginpoorhousingorbeinganasylumseekercanaffectachild’sexperienceofpoverty.Itrelatesparticularexperiencesoffamiliesfromminorityethnicgroupsandalsobrieflyconsiderstheconsequencesofchildpovertyforyoungadults.
Tosetthesceneforthisdiscussion,theremainderofthiscommentarygivesabriefoverviewofchildpovertyintheUK,ofeffortssofartotackleitandofwhatmoreneedstobedone.
Whydo3.8millionchildrenintheUKlivebelowthepovertyline?PovertyintheUnitedKingdomisconventionallydefinedashavingahouseholdincomebelow60percentofthemedian;thisistosomeextentanarbitraryindicatorofthecomplexphenomenonofpoverty,butisusefulbecauseitallowsustomonitorhowtheincidenceofrelativelylowincomeischanging,intotalandforspecificgroups.Arelativeincomemeasureencapsulatesthewidelysharedviewthatnobodyshouldhaveastandardoflivingthatfallstoofarbelowthecontemporarynorm,andbyimplicationthateveryoneinsocietyshouldshareinthefruitsofsteadilygrowingprosperity.
In2005/06,2.8millionchildrenwereinpovertyonthismeasure,beforehousingcostsaretakenintoaccount.But3.8millionwereinpovertywhenlookingathowmuchincometheirfamilieshadleftafterdeductinghousingcosts(‘afterhousingcosts’orAHC).27Theafterhousingcostsmeasuregivesabetterpictureofthenetdisposableincomethathelpsdetermineeverydaystandardsofliving,andisthemeasureprimarilyusedinthisreport.
Thelevelofchildpovertyhascomedowninrecentyears,with600,000fewerchildreninpovertyonbothmeasuresthanwhenthegovernmentannounceditstargetofendingchildpovertyinearly1999.Yetitisstilldoublewhatitwasin1979andremainsabovetheEuropeanaverage,andtherecentreductioninpovertyappearsnowtohavecometoahalt(seebelow).Somecountries,particularlytheNordiccountries,havechildpovertyrateswellunderhalfthoseoftheUK.Threefactorsinparticularunderpinourhighchildpovertylevels:
nTherelativelylargenumberofchildrenlivingwithloneparents,whoarelesslikelytoworkthaninmostcountries.HalfofchildreninpovertyintheUKlivewithloneparents.
nWageinequalitiesintheUKthatwidenedgreatlyinthe1980sandremainhigh.LowpayintheUKcontributestopoverty:justoverhalfofchildreninpovertyhaveparentswhowork.
nRelativelylowlevelsoffinancialsupportforchildrenandforout-of-workfamilies.Targetedimprovementsinrecentyearshavenotyetsucceededincontainingchildpovertytothesameextentasgovernmentinterventioninsomeothercountries.Forexample,asshowninFigure2,childpovertymeasuredbeforegovernmentredistributioninSwedenissimilartotheUK.However,sinceSweden’sbenefitssystemismuchmoregenerous,fewerchildrenthanintheUKendupinpovertyoncethesegovernmenttransfershavebeentakenintoaccount.
10 Itdoesn’thappenhere
WhatdoesitmeantoachildtobeinpovertyintheUK?ChildreninpovertyintheUKlackmanythings.Mostobviously,theirfamilieslackincome.Thechildrenthemselveslackaccesstovariousmaterialthingsandactivitiesthattheirfriendstakeforgranted.Perhapsmostimportantly,manychildreninpovertylackdignityandhope.
Theincomethresholdthatdefinespovertyvariesaccordingtofamilytype.Forexample,aloneparentwithtwochildrenaged5and14wouldneed£223aweekafterhousingcoststogetabovethepovertyline;acouplewithchildrenthesameagewouldrequire£301(in2005/06).
NochildintheUKcan’taffordtoeat.Butmanyhaveseriouslydepleteddietsandmanysuffermaterialdeprivation.Forexample,about200,000childrenhaveparentswhocannotaffordtobuymeatorfisheveryotherday,andabout150,000whocannotaffordtobuythemawaterproofcoat.Manymoreareunabletoparticipateinthosethingsthattheirfriendstakeforgranted.Abouttwoinfiveloneparentsareunabletotaketheirchildrenonoutingsorbuythemgiftstotaketoparties.28
Mostimportantly,manychildrengrowuppersistentlypoor,havingtogowithout
thingsthatothersaroundthemhave.Whileforsome,povertyisatransitoryexperience,formostofthosewhoarepooratanyonetime,itissomethingtheyareusedto.Overtwo-thirdsofthoseclassifiedaspooratanyonetimehavebeeninpovertyforatleastthreeofthepastfouryears.
Whereandforwhomaretherisksgreatest?ChildpovertyisnotevenlydistributedacrosstheUnitedKingdom.Beingamemberofaparticulargroup,orlivinginaparticulararea,affectstheriskthatachildwillbepoor.
Beinginaloneparentfamily,havingnoparentwhoworks,beinginalargefamilyandbeingincertainethnicgroupsallincreasetherisk.
Atageographicallevel,therelativeriskdoesnotvaryoverallbymuchinthefourconstituentpartsoftheUK:differencesintheheadlinefiguresforEngland,Scotland,WalesandNorthernIrelandaresmall.AmorenotablefeaturewhencomparingthesetotalsisthattheyhavecomedownmorerapidlyinWalesandScotlandthaninEngland.InWales,thechildpovertyriskhasgonefrombeinggreaterthantheUKaveragetoaboutthesame,andinScotlandfrombeingaroundaveragetoslightlybelow.29
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Child poverty rate before transfers Child poverty rate after transfers
Figure 2: Child poverty rates before and after cash benefits circa 2003
Source: Eurostat
11CommentarybyDonaldHirsch
WithinEnglishregions,thereareconsiderablevariations.InLondon,achildisnearlytwiceaslikelytobeinpovertyasintherestoftheSouthEast.Andtherelativerisksarefargreaterwhenlookingatparticularlocalauthoritiesandespeciallywardsandneighbourhoods.30
Figure 3: Children at risk of poverty
Figure3showsarangeoffactorstodowithplaceandfamilycharacteristicsthatcausetheriskofchildpovertytobeaboveaverage.Obviously,whenmorethanoneofthesearecombined,theeffectsareevengreater.Thegraphshowsthatnothavingaworkingparentremainsthemostimportantpredictorofchildpoverty,andclearlyinneighbourhoodswherelargenumbersoffamiliesspendlongperiodsonout-of-workbenefits,therisksareparticularlyacute.
Whathasbroughtchildpovertydown?Thechildpovertyratefellslowlybutsteadilyfromthelate1990suntilrecently(seeFigure4).Suchalongcontinuousfallinchildpovertyhasnotpreviouslybeenwitnessedinthenearlyhalfacenturysincetherelevantdataonincomedistributionhavebeencollected,31andgovernmentpolicieshavecontributedtothistrend.
Thetwokeydriversofthisfallhavebeenareductionofthenumberofchildrenin
familieswithoutwork,andanincreaseinthelevelsoftaxcreditsforpeopleonlowincomes,insideandoutsidework.
Muchemphasishasbeenputontheimpactof‘welfaretowork’policies.Thesehavemadeacontribution,andinparticular,theriseinthechanceofaloneparenthavingajob,from45percentto56percentunderthepresentLabouradministration,isanunprecedentedshift.However,thefallinthenumberoffamilieswithoutworkaccountedforonlyasmallproportionofthereductioninpovertybetween1998/99and2004/05–ononeestimateforonlyonechildinsixwhoescapedpoverty.32Manyfamilieswhohaveenteredworkstruggleonlowwagesorworkrelativelyfewhours,andsohavenotinfactescapedpoverty.
Figure 4: Child poverty (millions, after housing costs)
Amuchbiggerfactorhasbeentheimpactoftaxcredits,whichhavesignificantlyreducedthechanceofachildwithaworkingparentbeingpoor,andmodestlyreducedthechancethatachildwithanon-workingparentispoor.Thestrongesteffectisontheprobabilityofachildwithaloneparentwhoworksparttimebeingbelowthepovertyline:thisfellfrom45percentto27percentinthe1998–2004period.33
Avera
ge
North
East
Engla
nd
Lond
on
Disable
d adu
lt*
Four
or m
ore c
hildr
en in
family
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pare
nt
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or b
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ritish
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on
Pakis
tani/B
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i
Nobod
y wor
king i
n hou
seho
ld
30% 32% 41% 42% 47% 50% 51% 52%67%
77%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Cha
nce
of h
avin
g be
low
60%
m
edia
n in
com
e af
ter
hous
ing
cost
s
1996
/97
1997
/98
1998
/99
1999
/00
2000
/01
2001
/02
2002
/03
2003
/04
2004
/05
2005
/06
5.0
4.5
4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
4.3 4.24.4
4.3
4.1 4.03.9
3.73.6
3.8
2004 – 5 target
12 Itdoesn’thappenhere
Centralgovernmentpoliciesplayacrucialrole,bothbysettingthestructureofwelfaretoworkmeasuresandindeterminingtheamountofredistributionthattakesplacethroughthetaxcreditandbenefitssystem.However,policiesandpracticesatalllevelsofgovernmentcanplayapart.Jobprospectsdependonthestrengthoflocaleconomies,onopportunitiesfortransportandchildcarethatenableparentstowork,onactioninlocalcommunitiesandinthelongtermoneducationandqualifications.Devolvedadministrations,regionalbodiesandlocalgovernmentallhaveaparttoplayinthesepolicies.
Itisbeyondthescopeofthisreporttoenumeratealltheactionsthatneedtocometogethertocreatebetter-functioningcommunitiesthatcancontributetoendingchildpoverty.However,twophenomenaillustratethedegreetowhichitisnotjustataskfortheWestminstergovernment.
First,itisnotablethatinScotland,WalesandNorthernIrelandtherehavebeenelementsofadistinctiveapproachtotacklingchildpoverty.Scotland’sprogrammefor‘ClosingtheOpportunityGap’takesasix-prongedapproachtoreducingchildpovertythatisheavilyweightedtowards‘prevention’.Inparticular,thisprogrammeaimstosupportsustainedemploymentforat-riskgroups,astrategynowbeingtakenupelsewhereintheUK.InWales,therelativelyrapidfallinchildpovertyappearstocoincidewiththeadventoftheWelshAssembly,whichhasaimedtotargetparticularcommunities,suchastheValleys,whereworklessnesshasbeenmostconcentrated,thustakingamoregeographicallyfocusedapproach.InNorthernIreland,therehasbeenaparticularemphasisonreducingworklessnessratesoverall,whicharemuchhigherthanintherestoftheUKbuthavebeenfallingmorequickly.34
Asecondpointtonoteistheimportanceoflocalconditionsinaffectingbarrierstowork.TheseareparticularlyimportantinLondon,wheredifficultiesinfindingaffordablechildcareandhighrents(which
affectreturnstoworkduetothelossofhousingbenefit)havecontributedconsiderablytohighlevelsofchildpoverty–whichuniquelyamongEnglishregionshavefailedtocomedowninrecentyears.Localauthoritiesneedtoworkcloselywithpartnersinthepublicandprivatesectorstoimprovethe‘infrastructure’thatinfluencesopportunitiesforparentstowork,andtheflexibilityforparentstobalancetheireconomicprioritieswithdomesticresponsibilities.
Whatmoreneedstobedone?Thebattletoreducechildpovertyhasreachedacriticaljuncture.Itbecameapparentin2006thatunderpresentpolicies,thesteadyfallinthechildpovertyrateseeninrecentyearsislikelytocometoanend.35Thisanalysishasbeencorroboratedbyaflatteninginthedownwardtrend,evidentinFigure4,previouspage.TheapparentsmallriseinthechildpovertytotalinthedatareleasedinMarch2007wasdisappointing.However,therisewasnotstatisticallysignificant,36andasingleyear’sdatashouldbeinterpretedwithcaution.Butthefiguresareconsistentwiththehypothesisthat,sincethelastbighikeintaxcreditsin2003,thedownwardtrendinchildpovertyhasnotcontinued.
Aflatteningoutofchildpovertyatthepresentlevelwouldleaveabouttwiceasmanychildreninpovertyastherewereagenerationago,atalevelthatiswidelyconsideredunacceptable.
Behindtheseprojectionsareseveralharshrealities:
nWestillhaveasystemforincreasingbenefitsandtaxcreditswhichallowstheincomesofpeopledependingonthemtofallrelativetoaverageearnings.Moregenerousupratings,whichareneededinthelongtermtotacklepovertyeffectively,implyconsiderableextracoststotheExchequercomparedwithcurrentplans.Putanotherway,iftheregularupratingmethodcontinuestogivezero
13CommentarybyDonaldHirsch
realgrowthincertainbenefits,povertytargetswillbecomeprogressivelyhardertohitasmedianincomesriseinrealterms.Thepoorestfamilieswillfallfurtherandfurtherbehindtheaffluentmajority.
nContinuedprogressingettingmorepeopleintojobs,inparticularloneparents,canhaveapositiveimpact,butprogressonthisfrontwillnotberapid.Inthemediumterm,onanoptimisticscenario,thewelfaretoworkeffectonchildpovertywillbarelybeenoughtooffsettheeffectofnotupratingbenefitsandtaxcreditsasfastasthegrowthinaverageearnings,referredtoabove.Moreover,astrategyofbringingmorepeopleintothelabourmarketwillonlybesustainablewithintensiveinvestmentinhelpingthosewhoneedsupport.AshasbeensuggestedbytherecentFreudreview,37thiswillbehardtoreconcilewithcurrentcutsintheDWPbudget.
nInthelongterm,itwillonlybepossibletoreducechildpovertyatanacceptablepubliccostifincreasesinbenefits/taxcreditsthroughredistributionofincomearecombinedwithimprovedopportunitiesinworkfortheworstoff.Thismeansnotjustmorepeoplegettingjobs,butanimprovementinearningsthathelpsreduceworkingpovertywithoutexcessivedependenceontaxcredits.Partofthisdependsonemployerstakingashareofresponsibilitybyendingpovertywages.Tosomeextent,thetaxcreditregimeallowsemployerstopaystaffpoorly,intheknowledgethatthegovernmentwillsupplementtheiremployees’wages.
nButitalsorequiresthenextgenerationofparentstogetbetterqualifications,andhencedependsonimprovedoutcomesfromtheeducationsystem.Itisalsodesirabletoreducethenumberofpeoplefacingveryhigheffectivemarginaltaxratesastheylosetaxcreditsandbenefitswhenincomerises,apotentialdisincentivetoprogressinginworkandearningmore.
Thisshowstheneedforamixofpolicyresponsestocombatpoverty.Inthemediumterm,itimpliesmoreredistributionandbetter-resourcedwelfaretoworkprogrammes.Inthelongerterm,itraiseswiderissuesaboutthefactorsthatinfluenceopportunitiesfromonegenerationtothenext,mostparticularlyhowtoovercomesevereinequalitiesinoutcomesineducationforchildrenfromdifferentsocialbackgrounds.
Thesectionsinthisreportconsiderparticularwaysinwhichdifferentgroupsofchildrencanbehelpedinthenearfuture.Toputtheseincontext,itisworthconsideringwhatthetrendislikelytobefordisadvantagedgroupsunderpresentprojections.
Whataretheimmediateprospectsfordifferentgroupsofchildren?TheJosephRowntreeFoundation’s(JRF)assessmentoffuturetrendsinchildpoverty38estimatedin2006thatitwouldbenecessarytospendabout£4 –5billionmoreonbenefitsandtaxcreditsthanunderpresentplansby2010tomeetthetargetofhalvingchildpovertyfromits1998/99level.39Eventakingintoaccountextraresourcesputintotaxcreditsinthe2007Budget,around£4billionwillstillbeneeded(seeBoxAoverleaf).Theseestimatesassumethatthegovernmentgetsmostofthewaytomeetingits2010targetofincreasingtheloneparentemploymentrateto70percent.Specifically,theyassumea67.5percentemploymentrateforloneparents.Thiswouldrequireariseof11percentagepointsbetween2006and2010,ornearlythreepercentagepointsayear.Thisisthreetimesasfastastherateofincreaseoverthepast14years,andtheassumptionsmadeintheJRF’smodellingarethusalreadyveryoptimisticaboutthesuccessofwelfaretoworkpolicies.
14 Itdoesn’thappenhere
BOX A:
The 2007 Budget and the 2010 child poverty target
In2007,theChancellorannouncedanumberofmeasurestotacklechildpoverty.Themostsignificantwasariseof£3aweekabovethenormalincreasinginlinewithearningsofthechildelementofthechildtaxcredit,whichgoestofamiliesonlowincomes.Thiswillcost£1billionby2009.TheInstituteforFiscalStudies(IFS)confirmstheChancellor’sestimatethatthischangeinthe2007Budgetwillreducechildpovertybyabout200,000.40Specifically,theIFSprojectedin2006thatchildpovertyinGreatBritain41wouldfallonlymarginally,from2.7millionin2004/05to2.65millionin2010/11(usingthegovernment’spreferredpovertymeasure).42BasedontheBudgetincrease,itnowprojectsamoresubstantialfall,to2.47million.
Butthiswouldstillbealongwayabovethetargetof1.6millionin2010,halfofwhatitwaswhenthetargetofendingchildpovertywasannounced.Fortheextra900,000childrentobetakenoutofpoverty,asimilarpackagetothatoriginallysuggestedbytheJosephRowntreeFoundationwouldbeneeded.Forexample,thetargetcouldbeachievedbyincreasingthechildelementofchildtaxcreditbyafurther£11aweekin2007prices,andgivingfamiliesanextra£20perweekforthirdandsubsequentchildrenthroughthefamilyelementofthechildtaxcredit.Thiswouldcost£3.8billion,halfabillionlessthantheearlierestimate.Iftheextra£20waschannelledthroughchildbenefitforthethirdandsubsequentchildrentohelplargefamilies,thiswouldcost£4.2billion,comparedto£4.7billionintheearlierprojections.
Evenwithsuchoptimism,theJRFarguedin2006thatwithoutextrainvestment,thefallinchildpovertyislikelytocease.43Thisanalysiswasconfirmedbythe2005/06povertyfigures,publishedinMarch2007,whichshowednofurtherfallinpovertybutratherthesmall,thoughstatisticallyinsignificant,risereferredtoabove.44AssetoutinBoxA,theincreaseintaxcreditsannouncedinthe2007Budgetshouldstartmovingchildpovertydownwardsagain,butnowherenearenoughtomeetthe2010target.Thiswillrequireatleastabout£3.8billionmoretobeallocatedtosimilarmeasures.
Whatdoesthismeanforindividualgroups?OnthebasisoffurtherestimatessuppliedbytheInstituteforFiscalStudies,Figure5alooksattheprospectsforchildrenwithvariouscharacteristics,withandwithouttheextraspendingpackagesuggestedbytheRowntreereport.Itshouldbeemphasisedthattheseestimatesarebasedonprojectingrisksforindividualsbasedonexistingcharacteristicsandbehaviours,andmustbetakenasindicatorsofwhatmightbe,notasfirmpredictions.
Figure 5a: Projections of child poverty risks to 2010
2004/5 poverty rate
2010 on present policies
2010 with £3.8 billion investment
One
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15CommentarybyDonaldHirsch
ThefirsttwobarsforeachgroupinFigure5ashowthatformostgroupsofchildren,theriskofpovertywillchangerelativelylittlebetween2004/05and2010underpresentpolicies:theprojected8.5percentfalloverall,from2,700,000to2,470,000,willnotproduceasignificantchangeforallgroups:forsome,theriskofpovertywillstayaboutthesame.Astarkexception,however,ischildreninPakistaniandBangladeshifamilies,whosealreadyhighriskofpovertyissettoincreasefurther,from57percentto65percent.Indeed,thisriseisalreadyshowninthemostrecentpovertyfigurespublishedinMarch2007.45PakistaniandBangladeshifamilieshavealowemploymentrate,haveonaveragemorechildrenthanfamiliesoverallandareseverelyaffectedbythefailuretoupratebenefitsinlinewithearnings.
Figure5aalsoshowsthat,byspendingatotalof£3.8billionayearmorethanpresentlyplanned,theprospectsofvulnerablegroupscouldbeimprovedgreatlyby2010.Thisamountstoanincreaseequivalenttolessthan1percentofpublicspending(or0.3percentofcurrentGDP).
Toputthesechangesincontext,Figure5blooksatthreeexamplesofgroupsofchildrenintermsoftheirchangingprospectsoverthefirstdecadeofgovernmenttargets.Allcouldseeanendtotheimprovementoftheirfortunesunderpresentpolicies,evenafterthe2007Budget.Forchildrenofloneparents,thiswouldnotinvolvegivingupmostofthegainsseentodate.Inparticular,thebenefitofhavingmoreloneparentsinworkwouldpersist.However,forachildofasingle-earnercouple,abouthalfofthe(relativelysmall)reductioninpovertyrisksince1998/99wouldbelostunderthisscenario.
ThisleavestheGovernmentwithaveryseriouschallenge.Whetherornotitmeetsitsdemandingtargets,canitatleastmaintainthemomentumintacklingchildpovertythatithasachievedinrecent
years?Todoso,itwillneedtotakesomebigdecisions,aswellasmanysmallerones.Thebigdecisionsinvolvecomingupwithsubstantialextraresources,continuingandexpandingtheincreasesmadeinthe2007Budget.Themanysmalleractionsinvolveaddressingtheparticularproblemsofthegroupsdescribedinthisreport,andtakingthemeasuresnecessarytoaddresstheirneeds.Thestoriesofindividualhardship,frustrationandlossofdignitythatarerelatedonthepagesbelowreminduswhyarenewedcommitmenttotacklingpovertyisnotjustadesirablepolicymovebutadutyforallofusinarich,enlightenedsociety.
Figure 5b: A reversal of fortunes? Poverty risks of
selected groups, 1998 – 2010
90%
80%
70%
60%
50%
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0%1998/9 2004/5 2010 on
present trends
Non-working lone parents
All lone parents
Single earner couple
16 Itdoesn’thappenhere
The facts
Worklessnessisoneofthekeydriversforthehigherpovertyratesforsomeethnicminoritygroups–whiletheUKhasanoverallemploymentrateof75percentofallworkingadults,thisfallstoonly60percentwhenlookingsolelyatworkingageindividualsfromethnicminoritypopulations.47
nEmploymentratesforwomenvarysignificantly–72percentofwhitewomenareeconomicallyactivecomparedwithjust27percentofBangladeshiand30percentofPakistaniwomen.48
nWorkitisnotaguaranteedrouteoutofpoverty–54percentofPakistaniandBangladeshichildreninworkinghouseholdsareinpovertycomparedtojust12percentofwhitechildren.49Peopleofethnicminoritiesdonot,ingeneral,getthejobsthattheirqualificationlevelsjustify.50
nEducationisanotherkeydriverforhigherpovertyrates–theachievementgapbetween16-year-oldwhitepupilsandtheirPakistaniandAfrican-Caribbeanclassmateshasalmostdoubledsincethelate1980s.51
SectiontwoPoorchildreninblackandminorityethnicgroupsPovertyratesvaryenormouslyaccordingtotheethnicityofthehousehold.Sixty-sevenpercentofchildreninPakistaniandBangladeshifamilies,51percentofblackandblackBritishchildrenand48percentofchildreninChineseorotherethnicgroupsliveinpoverty–comparedwith27percentofwhitechildren.46Thispresentsthegovernmentwithaseriouschallenge–withouttargetedpolicies,ethnicitywillcontinuetodeterminechildren’slifechances.
17Poorchildreninblackandminorityethnicgroups
Casestudy152,53
Anna – Barnardo’s Tuar Ceatha Project, Belfast
AnnaisfrommainlandChinaandhastwosmalldaughtersaged5and9.Thefamilyreceivedtaxcreditsasherhusbandworkedpart-time.WhenAnnaandherhusbandseparatedtherewasamix-uponherincomesupportandtaxcreditsandsheispayingback£2,000fromherweeklybenefitof£180.75,whichincludesdisabilitylivingallowance.AnnahaslimitedEnglishandreallystruggleswiththelettersregardingherbenefits.Shespends£60aweekonfoodandhasverylittleleftoverforanyextras.Sheisunabletotakeherchildrentoanyactivitiesoronoutings.Thefamilyisisolatedfromfamilyandfriends.
AnnausedtoworkinaChinesetake-awaybuthasnotworkedsinceherfirstchildwasborn,asshehasnochildcare.AsherchildrenarenowatschoolshewouldliketoworkinthemorningsbutthebarrierstothisareherpoorhealthandlimitedEnglish.Sheis,however,attendingalocalChinesecommunitygroup,wheresheisgettinghelpwithherEnglish.
Annasaysthatanumberofthingscouldmakeadifferenceforherandherdaughters,forwhomshehashighaspirations.Shewouldlikeparentingeducationtoimproveherparentingskills:
‘I don’t know how to help them to learn… I know the family unit here is not in a healthy way.’
Annawouldalsolikehelpandadviceaboutherfinances:helpinfindingajobshecoulddointhemornings;adviceon
discountedtravelandaffordableactivitiessuchasswimmingandafter-schoolclubs.
Anna is one of the Chinese and Vietnamese families with young children who use Barnardo’s Tuar Ceatha (‘Rainbow’) service in Belfast. Staff who themselves come from the Chinese community and are trusted by the families, are able to guide them through the maze of health, education, benefi ts and employment services. They also provide help and friendly advice if families, who may be isolated and without the support of relatives, face diffi culties looking after their children.
18 Itdoesn’thappenhere
Casestudy252,53
Leah – Barnardo’s Priory Family Centre, Barnsley, Yorkshire
LeahisaloneparentwithonedaughterEmily,whois14monthsold.Leahisofmixedraceandherdaughterhasawhitefather.Sheisarecovereddrugaddict:
‘There was a lot of drugs around in the area when I was growing up. I took it to make myself feel better because I’d been abused by a family friend and I was bullied all the time at school about race – it’s mostly white around here. I wouldn’t like my daughter to go through the same as me.’
Leahdoesnotwork–herpreviousdrugaddictionhasresultedinherlosingallconfidence–butshewouldliketoworkwhenEmilygoestoschool.DuetothepreviousabuseshecannottrustanyonebuthermumtotakecareofEmily.
Leahlivesonbenefitsof£119.28aweek–thepovertylineis£14554–andsheborrowsfromhermumandstepdad.Leahdescribestheimpactoflivingonalowincome:
‘We only have a basic living. I can’t afford to do anything else. We don’t struggle for food because my mum helps us out. I don’t ever save any money – there is nothing left to save. I wish I could.
Emily misses out on lots of things. I can’t take her swimming or to playgroups or any activity as they will have to be paid for and I can’t afford it. I can’t take her out to parks and things like that as there
are people doing drugs around here and don’t want to get caught up with them.’
Leahwouldliketobeabletoattendsocialactivitiesforherandherchildbutgenerallycannotaffordthem.Shesays:
‘Priory is the only place around where I can go and be like the other mums. We don’t have to pay to come here… only for drinks if we have some spare money.’
ForLeahthefutureforherselfandherdaughterlooksfarfromhopeful:
‘I see our future as being bleak really. I don’t look forward because there’s nothing to look forward to. We can’t afford anything to change. Everything we get is only because someone else buys it for us.
I don’t think Emily will achieve what the other kids will because I can’t afford college or university. Even if I do work, what I bring in still won’t pay for that.’
Leah and Emily both attend Barnardo’s Priory Family Centre in Barnsley. Mothers and fathers say it’s a friendly place where they are not judged when they speak to staff about their problems. Leah can take time for herself, knowing that Emily is happy at the nursery. This way she can begin to improve her own self-confi dence, and start to plan ahead for herself and her daughter.
‘I can’t take her out to parks and things like that as there are people doing drugs around here and don’t want to get caught up with them.’
20 Itdoesn’thappenhere
TowardstheGovernment’s2010and2020povertytargets
Keeping the 2010 promise to halve child poverty by giving families an adequate income
Onpresentpolicies,by2010thereareprojectedtobe:
n40,000morePakistaniandBangladeshichildreninpovertythantherewerein2004/05.
n10,000moreblackorblackBritishchildreninpovertythantherewerein2004/05.
Withthe£3.8billioninvestment,by2010therewouldbe:
n50,000fewerchildreninPakistaniandBangladeshifamiliesinpovertycomparedwith2004/05
n40,000fewerchildreninblackorblackBritishfamiliesinpovertycomparedwith2004/05
n20,000fewerchildreninIndianfamiliesinpovertycomparedwith2004/05.
Keeping the 2020 promise to end child poverty – by investing in supporting families
Arangeofothermeasureswillalsobeneededtohelpimprovetheprospectsofthesegroups.Thesearesetoutbelow.
Employment
Onpresentpolicies,thegapbetweentheemploymentrateofthewhiteandethnicminoritypopulationwilltakeuntil2105toclose.Ifwearetoaddresspersistentdisadvantageandliftethnicminoritychildrenoutofpoverty,wemustmakenarrowingthisgapquicklyapriority.55
Harker56cautionsagainstdismissingtheemploymentgapdueto‘cultural’differenceswhenthereisclearevidenceofthesignificantbarriersthatethnicminoritygroupsfaceinenteringandprogressinginwork.Furthermore,thereisevidencethatcontrarytostereotype,manyeconomically
inactivewomenofPakistaniandBangladeshioriginwouldliketowork.57
TheGovernmenthasestablishedtheEthnicMinorityEmploymentTaskForcetoaddressthemainfactorsinethnicminorityemploymentdisadvantage.OtherinitiativessuchasFairCities,Partner’sOutreachandthenewCityPilotsaimtoclosetheethnicminorityemploymentgap.
Pilotprojectssuchasthosedescribedabovecanhavesomepositiveimpactatalocallevel,butitisveryunlikelythatthesewillbesufficienttotacklestructuralbarrierstoemployment.Toachievethisallmainstreamprogrammes,suchastheNewDealsandPathwaystoWork,wouldbenefitfromincreasedinvestmentinskillsdevelopment.Theymustalsobebetterattunedtotheneedsofethnicminorityfamilies.Only1.3percentofparticipantsontheNewDealforDisabledPeoplearePakistaniorBangladeshi.58
Earlyyearschildcareandeducation
TheGovernment’schildcareagenda,withtheestablishmentofSureStartChildren’sCentresinEngland,andrelatedprogrammesinScotland,WalesandNorthernIreland,recognisetheimportanceofearlyyearsprovision.
Thereisevidencethatdisadvantagedchildrenbenefitsignificantlyfromgoodqualitypre-schoolexperiences,especiallywherethispromotesbetterintellectualandsocialdevelopment.59Yetchildrenfromsomeethnicminoritygroupsarenotaccessingchildcareprovision–forexamplearound75percentofAsianchildrenhavenotaccessedanyformofformalchildcareinthelastyear,comparedtoonly54percentofwhitechildren.60
Earlyyearsandchildcareprogrammesmustextendtheirreachtoethnicminorityfamiliestoencouragethemtotakeupnurseryplacesandwherenecessaryprovideeffectivetargetedsupporttoensurethatearlydisadvantagedoesnotresultinlong-termunderachievment.
21Poorchildreninblackandminorityethnicgroups
The way forward
Employment–theethnicminority‘employmentpenalty’mustbeendedtoencourageandenablemoreparentstoenterthelabourmarketinjobsthatpaydecentwages.
TheDWPmusturgentlyreviewwhywelfaretoworkprogrammesarefailingmanyblackandethnicminorityparentsandpublishanactionplantoaddressthis.ThisshouldincludeameasurabletargetforJobcentrePlusstafftoincreaseparticipationintheNewDeals.Itshouldalsosetouthowtheskilllevelsofparentsfromblackandethnicminoritycommunitieswillbeimprovedsothattheycanearnadecentwage–forexamplebyinvestinginlocaladultlearningprogrammes,usinginitiativessuchasthenewCityPilots.
Early years and childcare–tacklingearlydisadvantagewillbekeyinbreakingthecycleofpoverty.Thereisevidencethatdisadvantagedchildrenbenefitsignificantlyfromgoodqualityearlyyears
andchildcareprovision,butchildrenfromsomeethnicminoritygroupsarestillnotaccessingthis.
TheDfESmustworkmorepro-activelywithearlyyearsandchildcareproviderstoenablethemtoextendtheirreachtoethnicminorityfamiliesandwherenecessaryprovidetargetedsupportincludingfreeorsubsidisedplacesforpoorerfamilies.
Educational under-achievement–closingtheachievementgapbetweenwhitepupilsandtheirethnicminority(particularlyPakistaniandAfrican-Caribbean)classmateswillbecrucialinbreakingthecycleofpoverty.
TheDfESmustpromotethepersonalisedlearningagendasothatitsupportschildrenfromblackandminorityethnicgroupsintheirlearning.TheagendashouldalsobeusedtoreducethehigherexclusionratesofsomeBMEgroupspupilsbyinterveningearly,identifyingproblems,andsupportingpupilsandteachers.
Educationalunderachievement
Theachievementgapbetween16-year-oldwhitepupilsandtheirPakistaniandAfrican-Caribbeanclassmateshasroughlydoubledsincethe1980s.61Insomeurbanauthorities,AfricanCaribbeanpupilsarenowenteringcompulsoryschoolingasthehighestachievinggroupbasedonbaselineassessmentsbutleavingasthegroupleastlikelytogainfivehighGCSEs.62
Theexplanationsforeducationalunderperformancearecomplexandincludetheconcentrationofcertainethnicminoritygroupsindeprivedareas.63Negativestereotypesaboutblackpupilsas‘threatening’arecommonandblackpupilsarethreetimesmorelikelytobeexcludedfromschool.64Ethnicminoritychildrencontinuetosufferracialabusedespiteattemptsbyschoolstotackleracistbullying.InoneLondonborough,29percentof
childrenhadbeenraciallyinsulted.65
Anumberofinitiativeshavebeenintroducedtohelpethnicminoritypupilstoovercomethebarrierstheyfaceineducation.Inparticularthegovernment’s‘AimingHigh’initiativehasshownsomesuccessbothinraisingtheattainmentofAfricanCaribbeanpupilsandensuringthatraceequalityisfirmlyontheagenda.TheTeachingandLearning2020ReviewGrouphasmadeanumberofrecommendationsonnewformsofassessmentandpersonalisedlearningwhichtheDfESisconsidering.Suchinitiatives,ifadequatelyfundedandaccessibletoallchildren,couldhaveapositiveimpactontheeducationofethnicminoritychildren.
Morebroadly,continuedeffortsareneededtoreducetheexclusionratesofAfrican-Caribbeanpupilsandtotackleracismandbullyinginschools.
22 Itdoesn’thappenhere
The facts
nOverhalfofallpoorchildren(52percent)liveinfamilieswherethereisanadultinwork.67
nTaxcreditsnowhelpmorethanamillionchildreninworkinghouseholdsoutofpoverty,butthenumberneedingsuchhelphasrisensteadily.68
nTheincidenceoflowpayhasincreasedoverthelast25years,despitetheintroductionofthenationalminimumwage.69
n Inaroundoneinthreecases,gainingajobmeanssimplymovingfrombeingpoorandoutofworktobeingpoorandinwork.Formanypeople,lowpayisnotatemporaryexperience:low-paidworkerstendtostayinlow-paidandinsecurejobs.70
SectionthreePoorchildreninworkingfamilies
TheGovernment’smainstrategyfortacklingchildpovertyistoincreaseparentalemployment.Butmorethanhalfofpoorchildrenliveinfamilieswherethereisanadultinwork.Sogettingparentsintoworkcannotbethewholesolutiontochildpoverty–thefocusmustchangetoensuringthatworkpays.
Thiswillmeanallemployerspayinganadequatewage–somearedoingthisthroughpayinga‘livingwage’.66Equallycrucialisthatemployersinvestintheirworkforcesothattheyacquiretheskillsneededforahigh-skill,high-productivityeconomy.Thegovernmentmusttakeresponsibilityforensuringthatemployersplaytheirpartinpayingadecentminimumwagesothattaxcreditsdonotbecomeawayofsubsidisingpovertywages.
23Poorchildreninworkingfamilies
Casestudy171
Becky – Barnardo’s Compass Partnership, Wrexham, Wales
Beckyisa24-year-oldsinglemotherwitha2-year-oldson–shereceivesnomoneyfromherchild’sfather.Sheworks20hoursaweekinasupermarketandispaid£5.35anhour/£87aweeknet–hertotalincomeincludingchildbenefitsandtaxcreditsis£271aweek.Childcarecosts£100aweek,rentandcounciltax£64aweek.Theremainderofherweeklyincomegoesonutilities,foodandnappies.Shehasnomoneyleftforclothes,holidays,socialisingortosaveformajorexpenditure,suchasreplacingthewashingmachineorfridge.
Livingonalowincomeimpactsonwhatshecandowithherson:
‘He had two invites to go to parties in the Whacky Warehouse and the Jolly Jungle and he couldn’t go because I couldn’t afford a present for his friend.’
Beckywouldliketoworkmorehoursbutisworriedthatifsheincreasesherhoursthismayimpactonherentitlementtotaxcreditsinthefollowingyear,makingherworseoff.
Shesaysthathermumwasinthesamesituationasherwhenshewasgrowingup:
‘She was working full-time and having to leave me with my Nan, and in the end it wasn’t worth it for her to go to work. Because she keeps having a go at me now because I’m doing the same as what she’s done.’
Barnardo’s Compass Service in Wrexham, North Wales, is there to help young parents such as Becky who are bringing up their children on low incomes. It provides practical advice on nutrition, on how to claim benefi ts and on budgeting, as well as emotional support from parents’ groups and the service workers. As a single parent, Becky has many demands on her time and no spare money for treats. Compass helps her to have opportunities to have trips out and fun days with her son.
25Poorchildreninworkingfamilies
Wilsonisasinglefatherandhastwosonsaged11and6.Hehadnochoicebuttostopworkthreeyearsagotocareforhiswife,whodiedlastyear,butheisnowbackinfull-timework.Heisontheminimumwage,earning£5.35anhour/£180aweeknet.Histotalincomewithchildbenefitsandtaxcreditsis£535aweek.Hisbiggestoutgoingisonchildcare,whichis£160aweekintermtimeand£300aweekinschoolholidays–anaverageof£195aweek.Healsopays£20aweekinfarestotakehischildrentochildcare.Withhisotheroutgoingssuchasrentandcounciltax(£75aweek),heisleftwith£197forfood,clothesandpayingoffhis£1,100debt(incurredwhenhehadtopayforhiswife’sfuneral).
ChildcareisabigissueforWilson:
‘In the area there are no child minders registered to take children to their junior school and at the moment I’m asking a neighbour to do it… they have to get up early in the morning, and out of the house at 5.45 in the morning which towards the end of a week does tell on them.’
Wilsonfeelsthathischildren’ssecurityandaspirationshavebeenlimitedbyhissituation:
‘Seeing things that benefi t them, like a computer would be benefi cial, but you’re on a low income you can’t afford a computer.’
Healsofeelsthatsinglefathersgetlittlesupport:
‘Because there isn’t anything for single fathers out there… I would imagine that there are a lot of single fathers out there living in poverty as we are speaking now not knowing who to contact or whatever or what to do.’72
Casestudy271
Wilson – Barnardo’s Community House Project, the Midlands
The Community House, in Barnardo’s Midlands region, has developed a number of activities with volunteer fathers like Wilson. Lone fathers are far less likely to be in employment than fathers in couple families, and Wilson fi nds that the support group Dads R Us and events like the Saturday brunch for fathers and holiday activities for children, have helped him and his children during a diffi cult period of their lives.
26 Itdoesn’thappenhere
TowardstheGovernment’s2010and2020targets
Keeping the 2010 promise to halve child poverty by giving families an adequate income
Onpresentpolicies,by2010thereareprojectedtobeover70,000morechildreninsingle-incomeworkingfamiliesinpovertythantherewerein2004/05.Withthe£3.8billioninvestment,by2010therewouldbe90,000fewerchildreninthesefamiliesinpovertycomparedto2004/05.
Keeping the 2020 promise to end child poverty – investing in supporting families
Aswellasinvestingthe£3.8billion,measuresareneededtotacklethecausesofpovertyinworkingfamilies:
Tacklingin-workpoverty
Itisclearthatlowearningsarecontributingtothehighlevelsofchildpoverty.Ifthepovertytargetsaretobereachedthenin-workpovertymustbetackled.Palmeretal.argueveryforcefullythatthemaindrivingforcebehindthefallinchildpovertyhasbeenduetoreformssuchastaxcreditsratherthantheshiftintowork.73Theystate:‘Inourviewitisafailuretorecognizetheextentofin-workpovertythatisthefundamentalthreattothechildpovertystrategy’.Dialogueisneededbetweenthegovernmentandemployersonthelevelofthenationalminimumwageandemployees’responsibilitiestofamiliesontraining,jobsthatofferprogressionandflexibleworking.
Jobsthatofferprogression
EvidencefromtheUSAaswellastheUK’sEmploymentZoneevaluationshowthatgoodjobmatchingiscentraltohelpingindividualsstayinjobs.Althoughjobentryratestendtobelower,withmorecareover
matchingindividualstosuitablejobs,morechildrenarelikelytobeliftedoutofpovertyperentryintowork.
ThetargetsforJobcentrePlusstaffneedtobecomefarmoreattunedtogettingparentsintoqualityjobsthatofferprogressioninwork:thishasbeenrecognisedbytheDWP,whichproposestointroducea‘NewDealforFamilies’.Thiswillgiveparentingahighpriority–especiallyintermsofworkthatisflexibleandfindingsuitablechildcareforparents.74Aswellastheexistingsuccessmeasureofthenumberofjobplacements,progresswillalsobemeasuredbythesustainabilityofjobsofferedandprogression.Thisiswelcome,buttobeeffective,itneedstoberolledoutmorewidely,asthereiscommitmentonlytoapilotprojectinLondon.
Moreemphasisisalsoneededonjobsustainabilityandthemonitoringandmeasuringofstartingpay,jobretentionandprogresswithinjobs.Thiswillpreventvulnerablegroupssimplycyclinginandoutofwork.ThoughonlyearlyfindingsareavailablefromtheEmploymentRetentionandAdvancementdemonstrationpilot75(ERA)createdtoexplorestrategiesforimprovingsustainabilityandprogressionwithinwork,thesupportandadviceelementsofthislookpromising.Thesepilotsdeliveredmorepersonaladvisersupportandapaymentforstayinginworkforaparticularlengthoftime.ERAraisedearningsonbalanceacrosstheboard–primarilybecauseitencouragedmoreparentstoworkfull-timeratherthanpart-time.TheDWPshouldallocateadequatefundingtoenablethesepilotstoberolledouttoclientsonallNewDealprogrammes.
Familiesrelyingononeearner
Familiesshouldmakethechoicethatisrightforthemonwhetherbothparentswork.However,thereisevidenceforacleardemandforhelpwithenteringwork
27Poorchildreninworkingfamilies
–aroundoneinfiveworklesspartnersinsingle-earnercouplesinpovertyarelookingforworkandintendtolookforworkinthefuture.76TheDWPiscurrentlyexamininghowsecondearnerscanbeencouragedintothelabourmarketaswellaswhethertolegislatetorequirethepartnersofparentsclaimingjobseekers’allowancetoattendsix-monthlywork-focusedinterviews.77
Aneffectivepolicyforencouragingsecondearnersintoworkwillneedtoaddressboththebarrierstoemploymentsuchasaffordablechildcareandthebarriersinemploymentsuchaslowpayandlackofprogression.
The way forward
Tackling in-work poverty–halfofallpoorchildrenliveinfamilieswherethereisanadultinwork.Thechildpovertytargetscannotbemetunlesstacklingin-workpovertybecomesakeyGovernmentpriority.
nTheGovernmentmustworkwithemployerstoensurethattheytakeseriouslytheirresponsibilitiesforpayingadecentwage,ensuringthatjobsofferprogressionthroughin-worktraining,andfamilyfriendlyworkingconditions.
n JobcentrePlustopreventthecyclingofvulnerablegroupsinandoutofworkthroughbetterjobmatchingandgettingparentsintojobsthatareasustainablerouteoutofpoverty.ThiswillrequireGovernmenttoallocatesufficientfundingsothatallNewDealprogrammescanoffermorepersonaladvisersupportandinitiativesforstayinginwork–asinthesuccessfulEmploymentandRetentionandAdvancementdemonstrationpilotwhichhaveshownsomeearlypromisingresults.
28 Itdoesn’thappenhere
The facts
nElevenpercentofone-parentfamiliesliveongrossweeklyincomesof£100aweekorlessandforty-onepercentliveongrossweeklyincomesof£200aweekorless.80Asinglepensionerhasapensionguaranteeof£119.05aweek.
n Itisestimatedthatreducingbyhalfthenumberofchildreninlone-parentfamiliesinpovertywouldrequirealone-parentemploymentrateof86percent.81Yetloneparentsfacesomeoftheweakestincentivestoworkandtoearnmore,becausemanywouldbesubjecttowithdrawalofataxcreditormeans-testedbenefitastheirearningsrise:overtwo-thirdsofworkingloneparentsfaceaneffectivemarginaltaxrateinexcessof50percent.82
nChildmaintenancepaymentscanbealadderoutofpovertyandintoworkforloneparents(byactingasawagesupplement)iftheyareregularandnotoffsetbyfallsinbenefit.83
nLoneparentsaremorelikelythanotheradultsoftheiragetohavelowqualifications,tobeclaimingsicknessanddisabilitybenefits,tohaveachildunder5andtoliveinsocialhousing.84
SectionfourLone-parentfamiliesTheriskofpovertyforchildreninlone-parentfamiliesishigh:inlone-parenthouseholds,50percentofchildrenarelivingbelowthepovertylinecomparedwith23percentofchildrenintwo-parentfamilies.78TheUKhasthesecondhighestchildpovertyrateforloneparentsintheEU,79primarilyduetothehighratesofworklessnessintheUKamongloneparents.
29Lone-parentfamilies
Heatherisasingleparentwiththreechildrenlivingonincomesupport.Shereceivesnomaintenancepayments.Herincomefrombenefitsis£210.44aweek–£40.56belowtheGovernment’spovertyline.86Sheisconstantlyindebt,andparticularlystrugglesinholidaytimetopayforsocialactivitiesandschooluniforms.
‘It’s when they all need the same clothes at the same time, especially school uniform – that’s what I fi nd really diffi cult… the children have never been on holiday… it was a case of do I take them on holiday for a week or pay the bills?’
Shehassufferedfromdepressionbecauseoffinancialpressure–shebegantrainingasateachingassistantbutfoundshecouldnotcope;althoughshevolunteersatBarnardo’s,shefeelsunabletoreturntowork.
HeatherhasbeentoseeapersonaladviserundertheNewDealforLoneParents–childcarecostsareananxietyandshefeelsthatshewillbeworseoffinwork.Shealsofeelsthattherearenojobsthatoffertheflexibilitythatwouldenablehertocareforherchildren.
‘They are trying to make the workforce more fl exible for working mothers and this, and that and the other but at the end of the day when you go back to work they want someone reliable, they don’t want someone coming in and saying sorry I’ve got to go because I’ve had a phone call and my child’s ill at school.’
ForHeather,concernsoverchildcarecostsandworkflexibilityare
symptomaticofhergeneralfearofreturningtoworkafteralongperiodofbeingafull-timeparent.
‘You don’t expect life to get any better, you just struggle all the time, you think this is life.’
Casestudy185
Heather – Barnardo’s Ely Family Centre, Cardiff
Barnardo’s Ely Family Centre in Cardiff provides a range of services. When Heather’s children were younger she used the parent and toddler group. Now, the after-school club, holiday activities and family outings provide support to Heather in caring for her children and staff offer skilled advice, for example on parenting or welfare benefi t entitlements.
30 Itdoesn’thappenhere
Casestudy285
Michelle – Barnardo’s Hive Project, Sunderland, North East
Michellehasfourchildrenaged18,14,11and4.Shehadrecentlyleftherjobasayouthworkerbecauseherhourswerecutfrom16to7.Thismeantshecouldn’tclaimworkingtaxcreditandlostotherbenefitssuchashousingbenefitandfreeschoolmealsforherchildren.ItnolongerpaidMichelletostayinwork.AsMichelleexplains,therearenotmanyopportunitiesforyouthworkinthearea:
‘Hours, not enough hours. Some times they start off with six or seven – depending on the funding they might be able to give you a couple more hours here. If the funding runs out you have no job.’
Michelle’schildrenwereproudoftheirmumwhensheworked:
‘Cos sometimes at school ‘what does your mam do?’ And he was saying ‘oh my mam works. My mam’s a youth worker you know’.
Nowthestigmaofclaimingfreeschoolmealsismakinglifedifficult:
‘Adam, he won’t have free meals, won’t go in the free meal queue, it’s like a card and people will say ‘oh you are a Nashy’ if you have got this type of ticket. So I give him money. Nash, the Nash, its slang for benefi ts.’
The Hive is a Barnardo’s community development project in Sunderland. It gives single parents like Michelle the opportunity to increase their skills and confi dence through volunteering, and taking courses which help them to get back into work as their children become older. The Hive also runs courses on nutrition and has an allotment so that parents can provide low-cost, healthy meals for their children.
31Lone-parentfamilies
TowardstheGovernment’s2010and2020povertytargetsKeeping the 2010 promise to halve child poverty by giving families an adequate income
Onpresentpolicies,by2010thereareprojectedtobeabout30,000morechildreninlone-parentfamiliesinpovertythantherewerein2004/05.Withthe£3.8billioninvestment,by2010therewouldbe320,000fewerchildreninthesefamiliesinpovertycomparedto2004/05.
Keeping the 2020 promise to end child poverty by investing in supporting families
Incometransfersthroughthebenefitsandtaxsystemarecrucialfortacklingpovertyforchildreninlone-parentfamilies.Butotherstepsarenecessary,includingmeasurestotacklesocialexclusion;effortstomakeemploymentsustainable,flexibleandbetterpaid;moresupportwithchildcare;andensuringthatchildmaintenancegetstothefamilieswhoneedit.
Initiativestotacklesocialexclusion
Addressingthesocialisolation,lackofconfidenceandoftenpoorphysicalandmentalhealththatmanyloneparentsexperiencemustbegivenahighpriority.87
‘My self-esteem and my confidence have grown and changed… I’ve got future plans where I never had any because I used to think I was stuck with the children. Coming here I’ve realised I can do things even with the children. I have done my introduction to youth work and my youth portfolio.
If the Government put more money into places like this… more free training, training with a creche.’
(Rachel,withtwochildrenaged4and13–Barnardo’sHiveProject,88NorthEast.
RachelisstartingauniversitycourseinSeptember–acrecheisprovidedattheuniversity,whichwasanimportantconsiderationforher.)
Localservicesprovidedbythestatutoryorvoluntarysectorcanplayakeyroleintacklingsocialisolationandexclusion.Thiswillincreasethelikelihoodofloneparentsseekingtrainingoremploymentandwillimprovethequalityoflifeforthemandtheirchildren.Supportpackagesareneeded,andpartnershipworkingbetweenagenciessuchasJobcentrePlusstaff,children’scentres,localauthoritiesandthevoluntaryandcommunitysectorineverylocalitytodirectloneparentstoappropriateservices.
TheGovernmentshouldencourageschoolstoremovetherisksofbullyingandstigmatisationforchildrengettingfreeschoolmealsbyintroducingsystemslikecashlesssmartcards.Therecanbenoexcuseforseparatequeuesorticketsforchildrenclaimingfreeschoolmeals.
Employment
TheGovernmenthasatargetofreachinganemploymentrateof70percent(currently56.5percent)forloneparentsby2010.Thiswouldliftafurther200,000childrenoutofpoverty.Itisestimatedthata65percentemploymentrateisachievableoncurrentwelfaretoworkpolicies.89However,reachingthe70percenttargetwillrequiretheimplementationofapackageofpolicymeasures;theHarkerreviewproposedsuchapackage.90TheGovernmenthasrecentlypublisheditsresponse:91
nRollingouttheNewDealPlusforLoneParents(NDLP).ItisestimatedthatiftheNewDealPlusforLoneParentsincludedallloneparentsandnotjustthepresent10percentofloneparentsonincomesupport,thelone-parentemployment
32 Itdoesn’thappenhere
ratecouldriseby2–3percent,takingupto40,000childrenoutofpoverty.92TheGovernment’sresponsehasbeentoextendtheNDLPtoMarch2011andtoincludeallloneparentsinLondon;93thiswillonlygopartofthewaytowardsachievingtheestimatedimpactonchildpoverty.
nMeasurestoimprovejobretention94willbekeyintacklingpoverty:thecasestudiesshowthedifficultiesofstayingintrainingorwork.Inanyoneyearaboutoneintenloneparentsleavework,makingtheirexitratesmorethandoubletherateofthosewhoarenotloneparents.A20percentreductioninlone-parentexitratescouldlift44,000childrenoutofpoverty.95
TheJobcentrePlustargetmeasuresthenumberofjobplacements.Thishasbeenwidenedtogiveparentalemploymentapriorityandtorewardsustainedemploymentandprogression.96However,theGovernmenthasnotgivendetailsofhowthiswillbedone:forexample,employerengagementwillbekeytoensuringthatthejobsonofferareflexibleandmeettheparentingneedsofloneparents.
Thereareotherissuestoaddressifloneparentsaretobesupportedtowork:
Helpwithtransitiontowork
Toqualifyforworkingtaxcredit,includinghelpwithchildcarecosts,aparentmustworkforaminimumof16hoursaweek.Thisruleisabarriertoworkandflexibilityonthisisneeded–especiallyforpeopleenteringworkaftertraining,voluntarywork,alongperiodoutofthelabourmarketorforthoselikeMichellewhosehourswerereduced.
Manyloneparentsstrugglefinanciallywiththetransitiontowork,especiallyastheymayhavetopaychildcarecostsup-front.TheDWPhasmadeeffortstoaddressthisthroughthein-workcreditforloneparentsontheNDLP,whichprovidesanextra£40perweekforloneparentsmovingintoworkinforthefirstyear,covering40percentofloneparents.ThiswillnowbeextendeduntilJune2008andtheratepayableinLondonwillbeincreasedto£60perweek.97Thisiswelcome,butcoveragemustbeextendedtoincludeallloneparents,astheexistingsystemmeansthatonlythoseloneparentslivinginthepilotareascanbenefit.
Anotherinitiativewhichcouldpotentiallymotivateparentstomakethetransitiontoworkistheintroductionofthe£20work-relatedactivitypremiumforloneparentsofolderchildrenonincomesupportpreparingforareturntowork.ThiswasproposedintheWelfareReformGreenPaperbuttherearenoplansbytheDWPtoimplementit.98TheGovernmentisurgedtoreconsiderthisasitcouldbenefitthoseparentswhohavebeenoutofworkforsometimeandneedhelpwithpre-worktraining.
ParentsneedasmoothertransitionfrombenefitstoworkandtheDWPmustconsiderhowthiscanbedone:
‘The Government could make changes to the system so that income wasn’t initially deducted from benefits and this would give families time to adjust financially to returning to work.’(Alisonwiththreeyoungchildren,SouthWest).
Tacklingin-workpoverty
Noteverymoveintoworkisamoveoutofpoverty–14percentofchildrenofloneparentswhoworkfull-timeand30percentwhoworkpart-time99stilllivein
33Lone-parentfamilies
poverty.Improvingtheskillsofloneparentsthroughofferingbothpre-worktrainingandensuringthattheygetintoasuitablejobwhichoffersprogressioninthefutureiskeytoensuringthatworkdoesindeedpay.Agreaterchallengeistoaddressthegenderpaygap–onthecurrentrateofchangeitwilltakeuntil2085toclosethis.100Governmentpolicyneedstobemuchmoreattunedtoworkingwithemployerstotaketheirresponsibilitiesmoreseriously.
Childcare
Improvementsinthesupplyandaffordabilityofchildcareaswellasmoreflexibleworkingopportunitiesareessentialifthelone-parentemploymentrateistobeincreased.Thetypicalcostofachildcareplaceforachildundertwois£152aweekinEnglandand£131inWales.Thiscomparestoaverageearningsof£447aweek.Thecostshaveincreasedbyalmost6percentfromlastyear.101Almostallparentsinthecasestudiesforthisreportstatedthatchildcarecostswereabarriertowork.
Childmaintenance
Only22.8percentoflone-parentfamiliesarereceivingmaintenancepayments:inthesecasesmaintenanceismakingadifference,reducingchildpovertyratesbyasmuchas13.9percentinlone-parentfamilies.102TheDWPestimatesthatchildmaintenancepaymentscurrentlyliftatotalof100,000childrenoutofpoverty.
However,childmaintenancecouldplayamuchbiggerrole:itdelivers25percentofAustria’schildpovertyreduction,24percentofSwitzerland’s,18percentofSweden’sandonly2.9percentintheUK.103
Mostparentswithcareonbenefitsareonlyallowedtokeep£10ofanychildmaintenancethatthenon-residentparentpays–anyamountabovethisisdeducted
frombenefits.TheWhitePaperontheChildSupportAgency104proposesthatfrom2008/09allparentswillreceivethechildmaintenancedisregardof£10,benefitinganadditional55,000children,withahigherdisregardbeingconsideredafter2010.105Thesechangeswillcomeintoeffecttoolatetohaveanyimpactonthe2010target.TheproposalputforwardbySirDavidHenshawwastopermitacomplete‘disregard’onanychildmaintenancepaidtoparentslivingonbenefits;estimatedtocost£230million,thismeasurecouldliftbetween80,000and90,000childrenoutofpoverty,contributingsignificantlytothechildpovertygoal.106
Theparentsinterviewedforthisreportexpressedfrustrationandangeratthelackofmaintenance.Forexample,Angelaisawarethatherhusbandstillpaysmaintenanceforthechildren,althoughshedoesn’treceivethisassheisonbenefits:
‘His money goes to the secretary of state I have been told.’
(Angela–singleparentwithfourchildren–Barnardo’sFITAservice,London).
ButworkisnottheonlysolutionThe2010and2020targetscannotbemetbyincreasesinemploymentalone.Workformanyofthesefamilieswillnotbeanoptionbecausetheirchildrenaretooyoung,orbecausesomeoneinthefamilyhaspoorhealthorisdisabled.Anequalemphasismustbeplacedonensuringthatloneparentshaveanadequateincomewhenoutofwork.
34 Itdoesn’thappenhere
The way forward
Employment–loneparentsfaceseriousdisadvantageinthelabourmarketwhichwillhindertheGovernment’saimofa70percentemploymentrateforloneparentsby2010.Achievingthiswillrequirearangeofpolicymeasures,including:
nHelpwiththetransitiontoworkbyprovidingaweeklypaymentof£40(£60inLondon)forthefirstyeartoallloneparentswhostartwork.ThiswouldbeanextensionoftheNewDealPluspilotschemecurrentlycovering45percentofloneparents.
n JobcentrePlustohavemeasurabletargetstoreducethehighexitratesofloneparentsenteringworkortrainingbyprovidingpersonalisedsupporttoallloneparentsenteringworksothatissues,suchaschildcareorlackoftrainingandprogressioninwork,canbeaddressed.
nRelaxtherulerequiringapersontoworkaminimumof16hoursaweektoqualifyforworkingtaxcredits.
Initiatives to tackle social exclusion –encouragingloneparentsintotrainingandintojobscannotbeachievedonitsown.Betterco-ordinationisneededbetweenlocalstatutoryandvoluntaryagenciestoaddressthesocialisolation,lackofconfidenceandoftenpoorphysicalandmentalhealthofmanyloneparents.
Child maintenance–currentlyparentswithcarewhoareonbenefitsonthe‘newscheme’areonlyallowedtokeep£10ofanychildmaintenancepaidbythenon-residentparent,parentsontheoldschemedon’tevengetthat.TheGovernmentshouldincreasetheamountthatparentscankeep–theHenshawreportestimatedthatifloneparentsweretokeepthefullamountofchildmaintenancepaidbytheabsentparentwithoutitaffectingtheirbenefits(‘acompletedisregard’)thiscouldtakeupto900,000childrenoutofpoverty.
35
The facts
n Improvementsbythegovernmentinthetaxandbenefitsystemsince1999havehelpedtoliftthemostseverelydisabledchildrenoutofpoverty.107In2005/06,30percentofdisabledchildrenwerelivinginpovertyafterhousingcosts,thesameasforallchildren.108However,familieswithdisabledchildrenarestilldisproportionatelylikelytomissout109asthereadditionalcostsincaringforadisabledchild–itcoststhreetimesasmuchtobringupadisabledchildasitdoesanon-disabledchild.110Benefitincreaseshavenotbeenbasedontheseextracosts.
nTheprogressmadeinliftingdisabledchildrenoutofpovertyhasnotbeenreplicatedforfamilieswithadisabledadult.In2005/06,theriskofachildlivinginpovertywas42percentafterhousingcosts,wheretherewasatleastonedisabledadultand27percentwherenooneinthefamilywasdisabled.111
nOneinthreechildreninpoverty–between700,000and850,000112–hasaparentwithaself-reporteddisabilityoralongstandinghealthcondition.
nFamilieswithdisabledchildrenare50percentmorelikelytobeindebtand50percentlesslikelytobeabletoaffordholidays,newclothes,schooloutingsor‘treats’fortheirchildren.113
n Just16percentofmotherswithdisabledchildrenwork,comparedwith61percentofmotherswithnon-disabledchildren.114
TheGovernmentestimatesthatthereare770,000disabledchildrenintheUK,7percentofallchildren,andthatdisabledchildrenareagrowingandsignificantgroup.115Between1975and2002therewasanincreaseof62percentinthenumberofdisabledchildren.116
SectionfiveFamiliesaffectedbydisability
Familieswhoareaffectedbyadisability–whetherofaparentorachild–areatagreaterthanaverageriskofpersistentpoverty.Theadditionalcostsofdisabilitypushmanyfamiliesintopoverty.Parentsinsuchfamiliesarelesslikelytowork,andthereisagreaterlikelihoodthatthosewhodoworkarelowpaid.
36 Itdoesn’thappenhere
RachelandBenhavethreechildrenaged13,10and8.Thetwoyoungerchildrenareautisticwithseverelearningdisabilities.Bengaveuphisjobwhentheirsecondchildwasdiagnosedsevenyearsagoasthechildrenneeded24-hourcare:
‘I had a really good job me. I was earning £500/600 a week, good pay. Good bonus, really good pension scheme and I just had to give it all up. I had been there 21 years.’
Thefamilyhomewasrepossessedandtheyhadtomoveintoacouncilhouseandaretotallyreliantonbenefits.
Dailylifeisastruggleduemainlytotheextracostsoftheirchildren’sdisabilities.Thefamilyreceives£383.75aweekinbenefits,includingdisabilitybenefits,sotechnicallytheyareabovetheGovernment’spovertylineof£345118–butthisdoesnottakeaccountoftheextracostsofdisability.Thefamilyneedsalargehousebecauseoneofthechildrendoesnotsleepproperlyanddisturbseveryone,butthismakesheatingcostsveryhigh:thehousehas13or14radiators.Thefoodbillisalsohigh,asoneofthechildrenhascoeliacdiseaseandoneoftheparentsisalsodiabetic;thisfrequentlymeanshavingtopreparedifferentmealsfordifferentfamilymembers,whichincreasesthecost.
Theysaythattheonlyreasontheygetbyisbecauseofthechildren’sdisabilitylivingallowance(DLA).Theydonotgooutasafamilyasshortbreaksareexpensive:
‘We were offered £29 (through direct payments) to get someone to look after Barbara for 6 hours, no one’s going to do
that… we couldn’t afford that.’
BenandRachelwouldlikemoremoneysothattheycanpayforcare:
‘I know of a child who went into respite care for one week and it cost £900.’
Theysaythattheyfeellikeprisonersintheirownhome.
Althoughthefamilyhasmanagedtostaytogether(themovetoalargerhousehelped),thestressisclear,asRachelpointsout:
‘We were constantly arguing all the time. You’re tired; you’re on top of each other, shouting at each other. There’s defi nitely no way we would be together now if we hadn’t moved.’
ForBenthefutureisnothopeful:
‘I’ve not got a house to pass down to the children… because we’d have had a mortgage and that would have been paid off and I’d have had a great pension. I’m 43 now and say I don’t get back to work: what happens to me and my wife then?… I’ve not got anything. I probably won’t have any skills to go back to work; I’ll probably be too old.’
Casestudy1117
The Roberts family – Barnardo’s Salford Families Project, Salford, North West
Barnardo’sSalfordFamiliesProjectsupportsfamiliesliketheRobertsbyofferingacomprehensiveservicefordisabledchildrenandyoungpeopleandtheirparents.Familiesareprovidedwithadviceonthebenefitstowhichtheyareentitled.Playschemesandshortbreakcarearealsoavailable,whichhelpfamiliescontinuetocopeinstressfulcircumstances.
37Familiesaffectedbydisability
Casestudy2117
Fiona – Barnardo’s Community Links Project, Wales
Fionaisasingleparentwithtwochildren,adaughteraged7andJoshua,whois5andisontheautisticspectrum.
Fionaiscurrentlytakingayouthandcommunityworktrainingcourseinordertobecomeayouthworker.Thetrainingisfree.ShehasbeenadvisedbytheCitizens’AdviceBureauthatifshegoestoworkshewillloseherweeklycarer’sallowanceof£45andwillhavetopayherrentofabout£240aweekandcounciltaxof£1000ayear.ThisisaworryforFionaandshehasdecidedtospendanotheryeartrainingsothatshecanboostherpotentialearningasmuchaspossible.
Fionafeelsthatthejobcentrehasnotbeensupportivewhileshehasbeentraining;shehastohavesix-monthlybenefitreviewsandoftengetsonlytwodays’notice.Sheisalsoworriedaboutthelackofflexibilityinherfuture
jobasayouthworkerastheworkissessionalandateveningsandweekends.Sheisfindingthetrainingdifficultatthemomentduetoeveningtrainingsessionsandalsobecausehersonneedsspecialistcare.Shefindssocialservicesinflexiblewhenitcomestochildcareastheyofferonlyoneeveningandsaysthatitisa‘constantbattle’withthem.
Barnardo’sCommunityLinksprojectinWaleshelpsFionacareforherautisticson,havetimeforherdaughterandpursueatrainingcoursewithaviewtoincreasingthefamily’sincome.TheprojectarrangesforJoshuatostayovernightonceaweekwitha‘link’family,givingFionathechancetocatchupwithherdaughterandherstudies,knowingthatheissafeandenjoyinghimself.
38 Itdoesn’thappenhere
TowardstheGovernment’s2010and2020povertytargetsProgress and projections
TheprogressGovernmenthasmadesofarinliftingdisabledchildrenoutofpovertyismostlyattributabletoanincreaseindisabilitybenefitssince1997.FamiliessuchastheRobertshavefoundthatdisabilitylivingallowance(DLA)helpsthemgetby.DLAisaparticularlyimportantbenefitsinceitnotonlyincreasesfamilyincomebutalsoahighDLAawardoperatesasagatewaytoothersupport.ThegovernmentthereforeneedstoensurethatDLAgetstothosewhoneedit.Arecentreport119revealedhowincreasingtake-upratesofDLAwouldbeofmostbenefittothepoorestfamilies.Thegovernmentshouldlookathowtoimprovetake-uprates,givingparticularthoughttoimprovinginformationgiventofamiliesandsimplifyingtheDLAapplicationprocess.
Keeping the 2010 promise to halve child poverty – by giving families an adequate income
Disabledchildren:onpresentpolicies,by2010thereareprojectedtobenearly30,000moredisabledchildrenlivinginpovertythantherewerein2004/05.Withthe£3.8billioninvestment,by2010therewouldbe140,000fewerdisabledchildrenlivinginpovertycomparedto2004/05.
Childrenlivinginfamilieswithadisabledadult:onpresentpolicies,by2010thereareprojectedtobenearly20,000fewerchildrenlivinginsuchfamiliesthantherewerein2004/05.Withthe£3.8billioninvestment,by2010therewouldbe240,000fewerchildrenlivinginpovertyinfamilieswithadisabledadult,comparedto2004/05.
Keeping the 2010 promise to end child poverty by investing in supporting families
Anumberofsolutionsareneededtosupportfamiliesaffectedbydisability,including:
Anadequateminimumincome
Familieswithdisabledchildrenincursignificantadditionalexpenditure.However,increasesinbenefitlevelsarenotbasedonanyassessmentoftheextracostsofdisability.Ithasbeencalculatedthatitcostsonaverageanadditional£99.15aweektobringupadisabledchildandthatbenefitsarenotenoughtocovertheextracosts.120Ashighlightedinthecasestudies,familiesliketheRobertsoftenfaceadditionalcostsinheating,sincetheirlivingaccommodationmayhavetobelargertoincorporatetheneedsofthedisabledchild.Disabledchildrenmayalsoneedexpensivespecialdiets.
TheGovernmentshouldexaminetheextracostsofdisabilitysothatitcanmakeinformeddecisionsastothelevelatwhichtaxcreditsandbenefitsshouldbeset–thiswillalsoprovideasafetynetforthosefamilieswhosecaringresponsibilitiesordisability/healthneedsmeanthatworkisnotanoption.
Helpfordisabledparentstoenteremployment
Inadditiontotheproblemsfacedbyfamiliesseekingtoraisedisabledchildren,therearealsosignificantbarrierstoworkfordisabledparents.Thereareanumberofemploymentschemesaimedathelpingdisabledpeopleintowork,suchastheNewDealforDisabledPeopleandPathwaystoWork.However,disabledparentscanmissoutonreceivingsupport.Onlyaround200,000childreninpovertywhoseparenthasadisabilityorlongstandinghealthconditionwillhaveaparenteligibleforPathwaystoWork.122Thereare264,000
39Familiesaffectedbydisability
loneparentswhoarenotworkingandhaveaself-reported,longstandinghealthcondition;thesepeopleareoftendirectedtotheNewDealforLoneParents,wheretheyreceivelittlehelpformanagingtheircondition,ratherthanPathwaystoWork.The16-hourruleshouldberelaxedforparentsofdisabledchildren,enablingthemtoaccesschildcareandhelpingtomakeworkpay.123
TheDWPneedstoimproveaccesstohelpforparentswithhealthconditionsanddisabilitiesthroughwideningeligibilityforPathwaystoWorkorintroducingadditionalsupportwithintheNewDealforLoneParents.124
Disincentivestoworkwithinthebenefitssystemneedtobeaddressed.Forexample,thecut-offforcarer’sallowanceshouldbetaperedsothereisnodisincentivetowork.Currentlythewholeallowanceislostthemomenttheparentearnsover£48aweek.
Earlyinterventiontosupportfamilieswithdisabledchildren
ThegovernmenthasstressedtheimportanceofearlyinterventionandthefollowingisanexampleofasupportpackagethatcouldhelpfamiliesliketheRoberts:
nSupportfromakeyworkeratthepointofdiagnosis:suchworkerswouldhaveresponsibilityforhelpingthefamiliesunderstandtheirbenefitentitlementsandparticularlytounderstandwhetherornottheyareentitledtoDLAandhowtogoaboutclaimingit.SupportlikethiscouldhavehelpedBentokeephisjobthroughtheprovisionofappropriatechildcareandshortbreaks.TheremitofJobcentrePlusstaffneedstobebroadenedsothattheyareabletonegotiateflexibleworkingwithemployerssothatparentsareabletocontinueinemploymentfollowingthebirthofadisabledchildoralaterdiagnosis.
nChildcare:ThereisevidencethattheNationalChildcareStrategyisfailingtodelivermoreappropriateandaffordablechildcarefordisabledchildren.125AreportfromtheNationalAuditOfficehighlightedthatmanychildcaresettingsdescribethemselvesasaccessiblebutofferonlyoneplaceforadisabledchild.126TheChildcareAct2006requireslocalauthoritiestosecuresufficientchildcaretomeettheneedsoffamilieswithdisabledchildren,butasthedutyisrelativelynew,thereislittleevidenceofimpactatpresent.Implementingthedutymayrequiretargetedactiontoimprovetheskillsandawarenessofearlyyearsworkersandfundingtoenablethemtomeettheadd-oncostswhichcanarisefromincludingdisabledchildren.Itcouldalsoenableprovisionsuchasthe‘sitterservice’inScotlandtobeconsideredforrollingoutacrosstheUK.Thisoffersrespiteandregularchildcare–itsevaluationshowedparticularbenefitstofamilieswithdisabledchildren.127
nChildcarecosts:Morehelpisneededwithchildcarecostsforfamilieswithdisabledchildrenbyincreasingtheamounttheycangetinthechildcareelementofworkingtaxcredittoreflecttheactualcoststheyincursothatworkcanprovidetherouteoutofpoverty.128
nShortbreaks:Familieswithdisabledchildrenare30percentmorelikelytobesingleparents.129Inonestudyof2,000families,shortbreakswerecitedasthekeyfactorthathelpedorcouldhavehelpedrelationshipsandpreventedfamilybreakdown.130Itisclearthatfurtherinvestmentinrecruitingandtrainingshort-breakcarersisneeded.
40 Itdoesn’thappenhere
The way forward
An adequate minimum income–workwillnotprovidetherouteoutofpovertyformanyfamiliesaffectedbydisability–becauseofparents’caringresponsibilities–sobenefitlevelsmustprovideabettersafetynetforthosewhocannotwork.
TheGovernmentshouldresearchtherealextracostsofcaringforadisabledchildsothatitcanmakeinformeddecisionsastothelevelatwhichtaxcreditsandbenefitsshouldbeset.
Employment –parentscaringforadisabledchildandparentswhohaveadisabilityorhealthconditionthemselves,experiencemultiplebarriers–fromgettingontoWelfaretoWorkprogrammesthroughtofindingaffordableandaccessiblechildcare.
TheDWPshouldimproveaccessto
PathwaystoWorkbywideningeligibilityand/orimprovingsupportwithinNewDealssothattheycangethelpwithmanagingadisabilityorhealthcondition.
Governmentshouldprovideextrahelpwithchildcarecostsforfamilieswithdisabledchildrenbyincreasingthechildcareelementoftheworkingtaxcredittoreflecttheadditionalcoststheyincurred.Extendedschoolsmustbeinclusiveofdisabledchildren.
Supporting families–earlyinterventionisneededtosupportfamilies.
TheGovernmentshouldallocatemorefundingtoprovideshort-breaksforparents–includingaccesstosessionalchildcare,togiveparentsafewhoursrespiteeveryweek.Suchservicescanmakearealdifferenceinhelpingparentstocope–sustainingrelationshipsandavoidingfamilybreakdown.
41
The facts
nAchildinafamilywiththreeormorechildrenisbetween50and180percentmorelikelythanaone-childfamilytobepoorandachildina4+familyisbetween280and800percentmorelikelytobepoorthanaone-childfamily.133
nOveraquarterofallfamiliesinNorthernIrelandhavethreeormorechildren:43percentoftheseareinlow-incomehouseholds.134
nOfmotherswithtwochildren,59percentareinemploymentcomparedwith14percentofthosewithfiveormorechildren,whoearnonaverage£1.30anhourlessthanthosewithtwochildren(£7.50comparedwith£8.90).135
SectionsixPovertyinlargefamiliesChildreninlargefamilies–definedinthisreportasfamilieswiththreeormorechildren–aremorevulnerabletopoverty.131Largefamiliesaremorelikelytobedependentonbenefitsandforlongerperiodsoftime.Therateofworklessnessinlargefamiliesishigherthanforparentsinsmallerfamilies–animportantreasonbeingtheaffordabilityandavailabilityofchildcare.132Besidesthecostsofchildcare,raisingalargefamilyinvolvescoordinationbetweenseveralagencies,forexample,school,nursery,childminder.Thecombinationofchildcarecostsandcoordinationarelikelytodetermothersoflargefamiliesfromenteringthelabourmarket.
42 Itdoesn’thappenhere
Casestudy1136
Sally – Barnardo’s Strabane Family Centre, Northern Ireland
Sallyisasingleparentaged33whohasfivechildrenaged16,14,8,6and4.Herincomefrombenefitsis£301.16aweek,whichis£60belowtheGovernment’spovertyline.137Fromthisshespends£155onfuelandloans–£85isspentonpayingbackfourloans.Shespendsabout£70aweekonfood,andsheborrowsfrequentlyfromherparents.
BeforeSallyhadheryoungestchildsheworkedpart-timebutwasunabletokeepthisjob,asshedidnotbreakeven–shepaid£60aweektowardschildcarecostsandherchildrenwerenolongerentitledtofreeschoolmeals.Sallyisdeterminedtogetbacktoworkandhasstartedtodoahairdressingcourse.Thecoursecosther£85andthekitcost£20.Sally’sparentspaidforthecourse:
‘Without my family support or dad taking me to the course and mum babysitting the children I would not been have able to do the course.’
SchooliscostlyforSallyasshehasfivechildrentogetequippedwithschooluniforms–threeareatprimaryschoolandnotentitledtoauniformgrant.Theolderchildrenare,butitdoesnotcovereverythingthatisneeded,suchasPEequipment:
‘Last week my second oldest child missed a day of school because he had no trainers for PE and I just could not afford them yet.’
Althoughschooltripsarereasonablypricedat£5:
‘When you have fi ve children wanting to go on school trips then this adds up to £25, which is expensive all in one go.’
Sallyfeelsthatlivingonalowincomelimitsherchildren’sopportunities.Hereldestsonhopestobeabletogotouniversitybutheisconcernedwhetherthefamilycanaffordit.ThisupsetsSally:
‘A 16-year-old boy should not be worrying about whether or not his family will have enough money for him to go to university.’
Sallyisonantidepressants–shesaysthatherchildren’schildhoodissimilartoherownbutsheisdeterminedtoturnthingsaround:
‘In the long term I hope to be able to be off the dole, be a qualifi ed hairdresser, be able to support my children, be able to save for emergencies and be able to take the children away on a family break together for a few days. I want to be able to enjoy being with the children and playing with them. Not to be always worrying about the bills and about where we are going to get the money for that week’s food.’
Barnardo’s Family Centre in Strabane provides practical and emotional support for families like Sally’s, by providing day care, play activities and parenting support.
43Povertyinlargefamilies
Susieis28andhasthreechildrenaged12,11and4.SheisnowworkingattheGreaterEasterhouseAdviceProject,workingwithadultsinthecommunityandchildrenandyoungpeopleinschools.
BeforeshegotajobshelivedonbenefitsinPossil,Glasgow,oneofthepoorestareasintheUK.Shehadasmallanddamptwobedroomflat,whichcostalottokeepwarm.Sheendedupindebtandwaspaying£22aweekbacktoalenderchargingextremelyhighinterestrates:
‘I found myself in a trap with the Provident and I had them at my door every week.’
Halfherwagesnowgodirectlyonrentandcounciltaxsosheisgratefulforherpartner’swage:
‘Even though I’m working and we have two wages coming in, I still can’t go out and buy things willy nilly at the drop of a hat, but I’m better off working now than I was on benefi ts, defi nitely.’
Whilesheisworking,hermumandhermum’spartnerprovidechildcare:
‘I wouldn’t be able to work if it wasn’t for them.’
Susie’sfatherworkedbuthismoneywentonalcoholandgambling–hermumstruggledtolookafterfourofthemanddidlow-skilljobslikecleaning.Susiehadababyat16andneverfinishedhereducation.SheturnedtoSteppingStonesforsupportandhasdonelotsoftrainingwiththem:
‘If it wasn’t for Stepping Stones I honestly believe I would still be sitting at home and I would be a 28-year-old social security
statistic with nothing behind me and no prospects in front of me.’
Susieandherfamilymovedtoabiggerflatandsheistellingherchildrentofinishtheireducation:
‘I tell them you can be anything you want to be as long as you’re sticking at school.’
Shealsoteachesthemaboutthedifferencebetweenajobandacareer.
Casestudy2136
Susie – A former service user of Barnardo’s Children’s Inclusion Project (CHIP), Glasgow
Barnardo’s Children’s Inclusion Partnership (CHIP) is a partnership with Stepping Stones, a voluntary organisation funded by Glasgow City Council. CHIP, through its work with Stepping Stones, offers a range of adult learning courses and volunteering opportunities to help parents get a job. Susie attended adult learning classes at Stepping Stones and was then put in touch with the Greater Easterhouse Advice Project, where she was offered a full-time job.
44 Itdoesn’thappenhere
TowardstheGovernment’s2010and2020povertytargetsKeeping the 2010 promise to halve child poverty by giving families an adequate income
nFamilieswiththreechildren:Onpresentpolicies,by2010thereareprojectedtobeabout30,000fewerchildreninpovertyinsuchfamiliesthantherewerein2004/05.Withthe£3.8billioninvestment,by2010therewouldbe290,000fewerchildreninthesefamiliesinpovertycomparedto2004/05.138
nFamilieswithfourormorechildren:Onpresentpoliciesby2010therewillbelittlechangeinthepovertyrateinsuchfamiliescomparedto2004/05.Withthe£3.8billioninvestment,by2010therewouldbe300,000fewerchildreninthesefamiliesinpovertycomparedto2004/05.
Keeping the 2020 promise to end child poverty – investing in supporting families
Incometransfersthroughthebenefitsandtaxsystemmustbeakeypartoftacklingpovertyforlargefamilies.UKtaxandbenefitpoliciesarenotespeciallysensitivetotheneedsoflargefamilies:
nChildbenefit(CB)ispaidatahigherrateforthefirstchildinafamily.
nThefamilypremiuminincomesupport(IS)effectivelyresultsintherebeingapremiumforthefirstchildinthefamilyreceivingIS.
nWorkingtaxcredit(WTC)ispaidatastandardrateregardlessofthenumberofchildren.
nChildcaretaxcreditpaysfor80percentofthecostsofregulatedchildcare–£175foronechildandanupperlimitof£300fortwoormorechildren.Largerfamilieshavetomeetanyadditionalchildcarecoststhemselves.
45Povertyinlargefamilies
Childbenefit
Childbenefitprovidesmuch-neededhelptofamiliesonlowincomes.Asitisauniversalbenefit,thetake-uprateismuchhigherthanformeans-testedbenefits.Childbenefitpaidatthehigherrateforallchildrenwouldhelpchildreninlargerfamilies,whohaveahighriskofbeingpoor.139
Targetinghelpatlargefamiliesiscrucialifthe2010targetistobemet:thisreportcallsforgivingfamiliesanextra£20aweekforthirdandsubsequentchildren.
Longer term solutions to tackle the causes of poverty are also needed:
Employment
Considerationneedstobegiventoanumberofmeasurestoencourageparentswithlargefamiliesintothejobmarket,suchas:
n Increasetheamountofchildcaretaxcreditavailabletocoverthechildcarecostsofallchildreninafamily.
nTheproposedNewDealforFamilies140shouldincludeaspecificemphasisontheneedsofparentsoflargefamilies,especiallythroughmatchingwithsuitableflexiblepart-timejobswhichoffertrainingandadvancement,andassistingwithchildcaresolutions.Evidencefromourinterviewsindicatesthatparentswhodonothaveapartnerinworkorfamilyhelpwithchildcarearefindingitalmostimpossibletoentertrainingorwork.
Improvingeducationalattainment
FamilieswiththreeormorechildrenarestrugglingtomeetthecostsofschooluniformsandequipmentandlocaleducationauthoritiesneedtoensurethatuniformgrantsareprovidedtoprimaryaswellassecondaryschoolchildrenandthatthesecoverthecostsofallessentialitemssuchasPEequipment.Educationmustbetrulyfree.
The way forward
Employment
nThetargetsforJobcentrePlusshouldincludeaspecificemphasisonmeetingtheneedsofparentsoflargefamilies,especiallythroughmatchingindividualswithsuitablepart-timejobswhichoffertrainingandadvancement.
nTheupperlimitof£300onthechildcaretaxcreditshouldbeincreasedtoreflectmorerealisticallythecostsincurredbylargefamilies.
Improve educational attainment
nEducationmustbetrulyfreeatthepointofdelivery.Localauthoritiesmustensurethatschooluniformgrantsareprovidedtoprimaryaswellassecondaryschoolchildrenandthatthesecoverthecostsofallessentialitems,suchasPEequipment.
‘I used to be able to give them money when I was working, now I can’t, I have sometimes felt like doing myself in [committing suicide] because I have no money.
Yeah, because all I do is worry about money, its when they ask for money and things and I have not got it, so they will maybe say something and I am in a depressed mood and I just feel like going away and doing something.’
(Jean–parentwithfivechildren,fourlivingathome.Jeanhasbeenonmedicationfordepressionsincethebreak-upofhermarriagesixyearsago.)
46 Itdoesn’thappenhere
SectionsevenOthervulnerablegroupsThischapterlooksatthreegroupswhosechildhoodexperiencesandfuturelifechancesareblightedbypoverty:childreninasylum-seekingandrefugeefamilies,childreninpoorhousingandsingleyoungpeople.
47Othervulnerablegroups
The facts
nAsylum-seekingfamiliesarenotallowedtoworkforthefirst12monthsoftheirapplicationandareforcedtorelyonstatebenefits;adultpaymentsareatonly70percentofincomesupportlevels.Anasylum-seekingfamily(acouplewithtwochildren)has£154.23aweektoliveon–£124belowthegovernment’sownpovertyline.142
nSection9oftheAsylumandImmigrationAct2004,whichhasbeenpilotedinanumberoflocalauthorities,involveswithdrawingallsupportfromasylumfamilieswithdependentchildrenwhofailtoleavefollowingrejectionofanasylumapplication.143Barnardo’shasbeenworkingwithonefamilyoftwoparentsandachildwhohavetosurviveeachweekon£46ofASDAvouchers.Thisisanentirelytypicalcase.
nAlthoughasylum-seekingchildrenofcompulsoryschoolagehaveanentitlementtoeducation,gettingaschoolplacecanbeverydifficult–ithasbeenestimatedthatatleast2,100refugeesandasylum-seekingchildrenareoutofschoolinLondonalone.144
nTheGovernment’sdispersalpolicy,whichmovesasylum-seekingfamiliesoutoftheSouth-Easttootherareasofthecountry,meansthatfamiliescanbemovedatshortnotice.Eachtimeafamilymovesthereisatemporarysuspensionoftheirbenefitswhileanewpostofficeissortedout.Althoughnoincomeisactuallylost,familiesmayfindthemselvesdestituteforseveralweeks.
Childreninasylum-seekingfamilies
Asylum-seekingfamiliesandtheirchildrenareamongthemostdisadvantagedgroupsinthiscountry.Whilepovertyhasbeenalleviatedforsomevulnerablechildren,otherGovernmentpolicieshavehelpedtomakeasylumseekersthemostexcludedgroupinBritain,especiallythroughrestrictingaccesstoemployment,housingandbenefits.141WhentheyarriveintheUK,oftenfleeingpersecution,theyareconfrontedbyanasylumandimmigrationlawconcernedmorewithchildren’simmigrationstatusthantheirwelfareneeds.Thismeansthatmanyasylum-seekingchildrenandtheirfamiliesliveonthemarginsofsociety,inconditionsofextremepoverty,sometimesapproachingdestitution,ofteninpoorqualityhousingandwithoutaccesstobasiceducationandhealthservices.
48 Itdoesn’thappenhere
Jackieis19andasinglemumtoa5-year-oldboy.ShecametotheUKfromAngolaseekingasylumfouryearsagoasanunaccompaniedminor.SheisawaitingadecisionfromtheHomeOfficeastowhethershecanstay–andthisiscausingheragreatdealofworry:
‘Not knowing who is going to knock on the door as if I was a robber.’
Sheisatcollegeandliveson£90aweekincomesupport–£61belowthegovernment’spovertyline.146Shestrugglestofeedandclotheherchild:
‘Gerald hasn’t got a T-shirt with long sleeves. I need to save some money to buy it before Christmas because like today it is getting cold.’
‘My son has some cereals from African shop… they are very tasty… I have to be very strong not to eat them because if I do the box would fi nish straight away. The box
costs £4 in London and £6 in Newcastle. I give my boy these cereals in the morning and at 5pm when he comes in from school. I eat only one meal a day. I can’t afford fruit every week.’
Jackiesaidthatshe‘hadnothing’positivetosayaboutherandherson’sfuture.
Casestudy1145
Jackie – Barnardo’s Byker Sands Project, Newcastle, North-East
Byker Sands Family Centre in the Barnardo’s North East region supports Jackie as a young person and a parent. The project provides a range of services to enable parents such as Jackie to gain qualifi cations and employment, including language classes, out of school clubs and holiday activities. Staff are also able to provide advice on budgeting and debt management, and parenting, which may be particularly stressful in the uncertain state in which Jackie fi nds herself, awaiting an asylum decision.
49Othervulnerablegroups
AmiraisaSomaliwomanaged46wholiveswithherhusbandandeightofherchildren(agedfrom7to18)intemporaryaccommodation.AmiracametoEnglandin2001withtwoofherchildrenandtherestofherfamilyfollowedin2003whenshewasgrantedleavetostay.
Thefamilyisdependentonincomesupportandtheirstruggletomakeendsmeetechoesmanyofthecasestudiesinthisreport.Butthetransitionfrombeingasylumseekerstorefugeeshasbeenfraughtwithdifficulties.Thefamilyhashadseveralchangesoftemporaryaccommodationandalthoughtheyarepleasedwiththeircurrenthousing,itisonlytemporary.Amira’shusbandhas
healthproblemsandcannotwork–heattributeshisillnesstothestressofbeingarefugeeforanumberofyears.
Amiraoftenborrowsfromonefriendorrelativetopaybackanotherandhasdevelopedwhatshedescribesasa‘queuesystem’:
‘I come up with my own system. Ways for controlling my income and my children. There’s a long queue for the children to wait each month. Each one’s getting new things. I’m not able to afford every month to get new things for the children.’
Specialtreatsforthefamilyareveryrare:
‘We can only afford cinema once a year – Eid day.’
Casestudy2The Husseins – Barnardo’s South-West Anti-Poverty Service, Bristol
The way forward
nAdultasylumseekersshouldbepermittedtowork,sothattheycansupportthemselves,contributetotheeconomyandstarttolifttheirfamiliesoutofpoverty.
nAdultasylumseekersshouldreceivetheequivalentof100percentincomesupportandnot70percentasnow.
nSection9oftheAsylumandImmigrationAct2004,whichwouldremoveallsupportfromfailedasylum-seekingfamilieswhofailtoleave,shouldberecognisedasinhumaneandineffectiveandaformaldecisionmadenottoimplementit.
Barnardo’s works with local Somali community associations in Bristol to help identify families in need such as Amira, her husband and children. It aims to develop the capacity of the community itself to support its members in the face of isolation and racism. It provides advice on how to use services such as education, health and housing, and also runs community events for children and families.
50 Itdoesn’thappenhere
The facts
nChildrenwholiveinbadhousingaremorelikelytosufferfrompoorhealth,tosufferalongstandingillnessordisability,todisliketheareainwhichtheylive,tohaverunawayfromhome,tohavebeenexcludedfromschoolandtohaveleftschoolwithnoGCSEs.147
nThesupplyofsocialhousinghasdecreasedsignificantly–duetothesaleofcouncilaccommodationsincethe1980sandthereductioninthebuildingofnewsocialhousing.Bytheendof2004therewere386,000fewerunitsofsocialhousinginEnglandthantherewerein1997.148
Childrenlivinginpoorhousing
Thereisachronicshortageofaffordablehousingduetohighrentsintheprivatesectorandalackofinvestmentinmaintainingthestockofsocialhousing.AlthoughtheGovernmentismakingsubstantialinvestmentinnewhomes,itstargetisonlytoincreasetheprovisionofnewsocialhousingtothree-quartersofthepre-1997level(30,000ayearcomparedwith41,000),andthenonlyby2008.Thisisnotenough.Thereissimplynowaytodealwiththeproblemofhomelessnessandpoorhousingwithoutincreasingthesupplyofaffordablehousing,probablytoarounddoublethecurrenttarget.
51Othervulnerablegroups
ArleneisBritishblackCaribbeanandhasthreechildren.Shebecamehomelessduetodomesticviolencefromherfirstpartner–shewasinawomen’srefugebeforeendingtherelationship.AsecondrelationshipwasalsoabusiveandshewasplacedinarefugeontheothersideofLondonfromherfamily’shome.Shehadtobreakupherfamily,withhermothercaringforhereldestdaughter.
Arlenesufferedfromdepressionandwasonprescribedmedication.Shegotintoalotofdebt.Sheeventuallylefttheunsuitableflatinwhichshehadbeenrehousedandmovedtohermum’s,whichwasfollowedbybedandbreakfastaccommodation,andshethenfoundherselfhomelessagain.Afteranumberoffurtherplacementsshewaseventuallyrehousedintoathree-bedroomhousewithagardenwiththehelpofBarnardo’sFITAproject.Shefeelsthatthingsarenowsettled.Herpastmentalhealthproblemsmeantthatshecouldn’tworksosheisbuildingupherconfidencebyvolunteering.ShevolunteersforBarnardo’sandhasdoneNVQlevel2inchildcare.
Arleneandherthreechildrenarenowlivingonbenefitsof£210.44aweek–about£38belowtheGovernment’spovertyline150–andisverycarefultobudgeteachweekaftergettingintoarrearswithutilityandotherbills:
‘I always make sure I budget because it makes me feel a whole lot better and I’m aware of what I owe and what I don’t owe.’
Arlenewantstoworkwhenherchildrengotosecondaryschoolandwouldonedayliketobecomeasocialworker.
Casestudy1Arlene – Barnardo’s Families in Temporary Accommodation (FITA)149 project, London
FITA was able to help Arlene organise a more stable future for herself and her children. The service provides welfare rights advice, play facilities and short-term casework and support for families in temporary accommodation. With this help Arlene has been able to put her life together and is now working towards entering the job market by undertaking volunteering and training.
52 Itdoesn’thappenhere
Roseisasingleparentwiththreeboysunder17livingathome.Sheisregistereddisabledandreceivesincapacitybenefitanddisabilitylivingallowance.Shealsosuffersfromchronicdepressionandsheandallherboyshaveasthma.Thehouseisunsuitableforthefamilyasitisafive-apartment,three-levelhouse.Shefindstheupkeepdifficult:
‘I’ve been in this house 14 years and it’s never been wallpapered from the day I moved in… no central heating and no possibility of me getting carpets or lino as it’s too expensive. I can’t get anyone to decorate, I can’t afford it.’
Rosespends£25aweekongasandelectricitybutthehouseisstillcoldandthisisaffectingthefamily’shealth:
‘Draughts come through the doors and it affects everyone in the house here because we’re constantly cold all the time. It’s frozen, we’ve only got the gas fi re, there’s nothing in the rooms so you have to get wrapped up at night because it’s so cold.’
Casestudy2Rose – Barnardo’s Youth Involvement Project, Glasgow
The way forward
n TheGovernmentmustincreasethesupplyofdecent,secureandaffordablehomes;wesupportShelter’scallontheGovernmenttodeliver20,000additionalsocialrentedhomesperannumontopofitstargetof30,000annuallyuntil2011,makingatotalof50,000socialrentedhomesperyear.151
Barnardo’s Youth Involvement Project in Glasgow tackles poverty and unemployment through working primarily with the young people in families such as Rose’s. It aims to reduce drug and alcohol abuse, anti-social behaviour and offending through individual support and a mentoring programme for young people at risk. The young people are supported in education and in their search for training and employment.
53Othervulnerablegroups
The facts
nTheGovernmentguaranteesthatasinglepersonaged60oroverwillhaveaminimumincomeof£119.05excludinghousingcosts–thisisdeemedtobetheleasttheycanliveonwithoutbeinginpoverty.Yetyoungpeoplereceivingincomesupportgetonly£45.50iftheyareaged18–24andjust£34.60perweekiftheyare16or17.Thisisevenbelowthestandardadultrateof£57.45,despitethefactthattheseyoungpeoplewillhavethesameoutgoingsasanyoneelse–forexample,gas,electricity,foodarenocheaperforthem.
nTheminimumwageisalsosetatdifferentlevels–£5.35forthoseaged22andover,£4.45forthoseaged18–21and£3.30forunder-18s.Thisrateisclearlyinadequateforthosewhohavetosupportthemselves;forpeopleover25,workingtaxcreditshelpthoseonalowincomebutthesearenotavailableforpeopleagedunder25,regardlessoftheirearnings.
nYoungpeopleunder25livingindependentlycanclaimhousingbenefitbutonlyatalowerrateknownas‘thesingleroomrent’.Thismeansthat87percentofthemwillhavetopayasmuchas£35.00aweektotopuptheirrentoutoftheirearningsorincomesupport.152
nEducationalmaintenanceallowances(EMAs)aredesignedtoprovideanincentiveforyoungpeopletoremainineducationortrainingafter16.Thisisparticularlyimportantforchildrenwhohavebeenincareandmayhavemissedoutoneducationopportunities.Localauthoritiesmustsupportyoungcareleaversaged16and17financially,butmanyofthemdeductEMAsfromtheallowancestheygiveyoungpeople,therebyremovinganyincentivetostayineducationandtraining.
nThepooroutcomesforchildrenincaremeanthattheyareparticularlyvulnerabletopovertyasyoungadults.Attheageof19,only19percentofcareleaversareinfurthereducationcomparedto38percentofallyoungpeople,153andover30percentofthemarenotinanyformofeducation,trainingoremploymentcomparedto13percentofallyoungpeople.154
Youngpeoplelivingindependently
Youngpeopleagedover16whodonotgetthefamilysupportthatmosttakeforgrantedaremuchmorelikelytobepoorandasadultstoremaindependentonbenefitsorlow-paidwork.
Thebenefitandtaxcreditsystemsandnationalminimumwageprovidelowerlevelsofsupportforthoseagedupto25.Thismakeslifeextremelydifficultforyoungpeoplewhohavetoliveindependently,whoselivingcostsarenodifferentfromthoseagedover25.
54 Itdoesn’thappenhere
Jillis17–hermotherdiedwhenshewas16andshenowlivesonherowninthefamilyhome.Jillwasunabletocompleteherfifthyearatsecondaryschoolandshehasnowenrolledatalocalcollege.Shehas£75aweekfromincomesupportandeducationalmaintenanceallowance.
Herweeklyoutgoingsare:gas£8.62,electricity£6,TVlicence£5,homeinsurance£2,food£15,telephone£15,packedlunches£10andtransport£10.Thisleavesatotalof£3.38forsocialisingandpayingforanyunforseeneventualities.
Jillsaid:
‘Juggling my fi nances, taking care of a household and attending college is not easy. I continually struggle with my emotional well-being and rely heavily on very good friends and my key worker at Barnardo’s.’
ItwouldmakeabigdifferencetoJillifshecouldwork.BecauseJillisatcollegeforlongerthan16hoursaweek,shehadtogiveupapart-timejobatagardencentreasthismeantshewasworseoffasherbenefitswerecut:
‘I would like to be able to take up part-time working again. This would help me to interact socially and play a signifi cant part in my social isolation… I would like the Government to be more fl exible around benefi ts and part-time working and take personal circumstances into consideration especially for those like myself who are very young and vulnerable.’
Casestudy1Jill – Barnardo’s Threshold Project, Scotland
For vulnerable young people such as Jill, without family support, living independently can be a struggle and the beginning of a life of poverty. Services like Barnardo’s Threshold work to ensure that this does not happen by helping young people in their dealings with a wide range of local services such as housing and education. This may mean helping with form-fi lling to claim benefi ts or with enrolling in college.
55Othervulnerablegroups
Vanessawasformerlyincareandhasonechildaged19weeks.Shelivesclosetotownonaverydeprivedestatewherethereareknowndrugproblems.Herincomefrombenefitsis£119aweek,slightlybelowthegovernment’spovertyline155–shespends£35aweekonfuel,£15ontransportand£50onfood.Shesavestheresttobuyclothesforthebaby.Vanessaborrowsfromhermumandisindebtwiththeelectricityandwatersuppliers:
‘I had the token meter put in because it’s easier and you know where you are. The only way to get a meter is to get into debt with the suppliers – otherwise you pay £80.’
Vanessapointedoutthatbeforeshehadthebabyshewaslivingonjust£45aweekandshecouldn’tmanage–theextrabenefitsforthebabyhavehelped.Shefeltthatshehadnothada‘normal’childhoodbecauseofbeingincareandbecausehermotherhadadrugaddiction:
‘My mother used to sit in the bedroom all the time jacking up heroin, so it [her childhood] weren’t like everyone else.’
ButVanessawouldliketoworkanddosometraininginfoodandhygiene–hermainmotivationforthisistomoveawayfromtheareaandprovideabetterfutureforherson:
‘I don’t want him to be here when he gets older. I don’t want him getting brought up in an area where’s full of drugs and stuff like that… I don’t want him living in this dump when he is 6.’
Casestudy2Vanessa – Barnardo’s Bays Partnership, Wales
Barnardo’s Bays Partnership Leaving Care Service helps young people such as Vanessa plan for their future so that they can look ahead positively. The service is described by its users as ‘friendly’ and the staff as ‘willing to listen and help’. Vanessa wants to secure a better life for herself and her child and the staff at Bays Partnership will help her in her search for training and childcare.
56 Itdoesn’thappenhere
The way forward
nMorefundingisneededtoprovideappropriateskillstraining,particularlyforyoungpeoplewhohavemissedoutonpre-16education.TheLeitchreview156saysthatcurrenttrainingsuchasNVQsisnotmeetingemployers’needs;itidentifiesaneedformorework-relatedlifeskillssuchasgoodcommunicationandinterpersonalskills.
nThecurrentEntrytoEmployment(E2E)trainingprovidessuchskillstrainingbutislimitedto16weeks.Thisisinsufficientforthoseyoungpeoplewhohavehaddisruptedlives–suchasthoseincare–orwhotakelongertolearn–suchasthosewithspecialneeds.AmoreflexibleapproachisneededtofundingE2Eforlongerperiodsforyoungpeopleassessedasneedingextrasupport.
nThereshouldbeamandatoryrequirementthatlocalauthoritiesdonotdeductEMAincomefromthepersonalallowancesof16and17-year-oldcareleavers–thiswouldgivearealincentiveforthemtoengageineducationortraining.
nTheSingleRoomRentpolicycancauseseverehardshipforyoungpeople,particularlyforthosewhoarelivingindependently.Thepolicyshouldbeabolishedforyoungpeoplelivingindependentlywhoareeitherineducationortrainingorareontheminimumwage.
nAsameans-testedbenefit,incomesupportpaymentsshouldbebasedonindividualfinancialcircumstancesandwearenotawareofanyevidencetoshowthatover-25shavegreaterfinancialpressuresthantheiryoungercounterparts.Thereforetheagedifferentialsshouldbediscardedandyoungpeopleshouldbeassessedinthesamewayasadults.
nWorkingtaxcreditsshouldbeextendedtothosepeopleunder25whoareontheminimumwage.
nMoreworkshouldbedonetoprovidesupportedemploymentforcareleaversandothervulnerableyoungpeople.Forexample,Barnardo’sYouthbuildProjectinPaisley,Scotlandhasdevelopedanexcellentpartnershipwithlocalconstructioncompanies,providingtrainingandemploymentforyoungpeople.
57
Conclusion‘I’ve been in poverty and done it. I’ve done the same as Michelle;157 I’ve started from having nothing… Peeling the black things out of potatoes, freezing cold hands, wellies on, didn’t we, and we got ten pounds for the whole day. It was disgraceful, I think about what I did then… and its not as though you don’t want to work, because we have always wanted to work, haven’t we? We have been trying to break the cycle from where we came. So that our bairns don’t have the life that we have, so that they’ve got a better life.’
(Jayne,whohasnowgotaUniversitydegreeandajob.)
ThisreporthasshowntherealityofchildpovertyintheUKtoday.Thebleakstatisticsitcontainsareonepartofthepicture.Equallyimportantarethestoriesofisolation,anxietyandlostopportunities.Childpovertyhasacost–tothechildrenwhoselivesitblightsandtosociety.Thiscostiseconomicaswellasmoral.ArecentreportfromtheCenterforAmericanProgresscalculatedthesubsequentcostsofchildrengrowinguppoorintheUSAtobe$500billionperyear,oralmost4percentofAmericanGDP,basedonadditionalhealthcarecosts,lostcontributionsandincreasedcrime.158
Theslowbutsteadyprogressinreducingchildpovertysincethelate1990shasnowstalled.Thescaleofthechallengeaheadshouldnotbeunderestimated–thereare3.8million(1in3)childrenlivinginpovertyintheUKtoday.Butthischallengecanbemet.Itisaffordable–theadditional£3.8billionthatthisreportcallsforisequivalenttojusttwothirdsof1percentofpublicspending.ChildpovertyisnotinevitableandBarnardo’sisaskingthegovernmenttokeepitspromisetomillionsofchildrentoendchildpovertywithinageneration.
The way forward
WecallontheWestminstergovernment,andwhereappropriate,thedevolvedgovernmentsofNorthernIreland,ScotlandandWales,todothefollowing:
n Invest£3.8billiontomeetthepromisetohalvechildpovertyby2010159andinfutureincreasebenefitsandtaxcreditsinlinewithearningstostoptheincomesofthepoorestfamiliesfallingfurtherbehind.
n EstablishaUKcommissiononendingchildpoverty,chairedbythePrimeMinisterortheChancellor,whichwoulddeliveraroadmapsettingouttheinvestmentandpoliciesneededtohitthe2020target.
n Aimallgovernmentfundingandprogrammesatbenefitingthepoorestchildrenthemost.160
n Extendaccesstohighqualitychildcarebyensuringadequatefundingtosustainchildcareprovisionindisadvantagedcommunities.Relianceonthemarketalonewillnotdeliverforourpoorestfamilies.
n Tackletheadditionalhardshipinschoolholidaysbycompensatingfamilieswhosechildrengetfreeschoolmealsforthelossoftheseduringtheschoolholidays;161andworkingwithlocalauthoritiestoensurethataffordableandage-appropriateholidayactivitiesandchildcareareavailableforallchildren.
n Tacklefuelpovertybyworkingwiththeprivatesectortomakesurethatallcustomersareonthecheapesttariffsforutilitiesandarenotpenalisediftheycannottakeadvantageofpaymentschemessuchasdirectdebit.
SeeAppendix1forthefullsetofrecommendations.
58 Itdoesn’thappenhere
Appendix1:Recommendations
Additionalpolicymeasures
Poorchildreninblackandminorityethnicfamilies
Employment–Theethnicminority‘employmentpenalty’mustbeendedtoencourageandenablemoreparentstoenterthelabourmarketinjobsthatpaydecentwages.
TheDepartmentforWorkandPensionsmusturgentlyreviewwhywelfaretoworkprogrammesarefailingmanyblackandethnicminorityparentsandpublishanactionplantoaddressthis.ThisshouldincludeameasurabletargetforJobcentrePlusstafftoincreaseparticipationintheNewDeals.Itshouldalsosetouthowtheskilllevelsofparentsfromblackandethnicminoritycommunitieswillbeimprovedsothattheycanearnadecentwage–forexamplebyinvestinginlocaladultlearningprogrammes,usinginitiativessuchasthenewCityPilots.
Early years and childcare–Tacklingearlydisadvantagewillbekeyinbreakingthecycleofpoverty.Thereisevidencethatdisadvantagedchildrenbenefitsignificantlyfromgoodqualityearlyyearsandchildcareprovision,butchildrenfromsomeethnicminoritygroupsarestillnotaccessingthis.
TheDepartmentforEducationandSkillsmustworkmorepro-activelywithearlyyearsandchildcareproviderstoenablethemtoextendtheirreachtoethnicminorityfamiliesandwherenecessaryprovidetargetedsupportincludingfreeorsubsidisedplacesforpoorerfamilies.
Educational under-achievement–closingtheachievementgapbetweenwhitepupilsandtheirethnicminority–particularlyPakistaniandAfrican-Caribbean–classmateswillbecrucialinbreakingthecycleofpoverty
TheDepartmentforEducationandSkillsmustpromotethepersonalisedlearningagendasothatitsupportschildrenfromblackandminorityethnicgroupsintheirlearning.TheagendashouldalsobeusedtoreducethehigherexclusionratesofsomeBMEgroupspupilsbyinterveningearly,identifyingproblems,andsupportingpupilsandteachers.
Poorchildreninworkingfamilies(couplefamilieswithoneearner)
Tackling in-work poverty–Justoverhalfofallpoorchildrenliveinfamilieswherethereisanadultinwork–thechildpovertytargetscannotbemetunlesstacklingin-workpovertybecomesakeyGovernmentpriority
nTheGovernmentmustworkwithemployerstoensurethattheytakeseriouslytheirresponsibilitiesforpayingadecentwage,ensuringthatjobsofferprogressionthroughin-worktraining,andfamilyfriendlyworkingconditions.
n JobcentrePlustopreventthecyclingofvulnerablegroupsinandoutofworkthroughbetterjobmatchingandgettingparentsintojobsthatareasustainablerouteoutofpoverty.ThiswillrequireGovernmenttoallocatesufficientfundingsothatallNewDealprogrammescanoffermorepersonaladvisersupportandinitiativesforstayinginwork–asinthesuccessfulEmploymentandRetentionandAdvancementdemonstrationpilot,whichhaveshownsomeearlypromisingresults.
59
Lone-parentfamilies
Employment–LoneparentsfaceseriousdisadvantageinthelabourmarketwhichwillhindertheGovernment’saimofa70percentemploymentrateforloneparentsby2010.Achievingthiswillrequirearangeofpolicymeasures,including:
n Helpwiththetransitiontoworkbyprovidingaweeklypaymentof£40(£60inLondon)forthefirstyeartoallloneparentswhostartwork.ThiswouldbeanextensionoftheNewDealPluspilotschemecurrentlycovering45percentofloneparents.
n JobcentrePlustohavemeasurabletargetstoreducethehighexitratesofloneparentsenteringworkortrainingbyprovidingpersonalisedsupporttoallloneparentsenteringworksothatissues,suchaschildcareorlackoftrainingandprogressioninwork,canbeaddressed.
n Relaxtherulerequiringapersontoworkaminimumof16hoursaweektoqualifyforworkingtaxcredits.
Initiatives to tackle social exclusion–encouragingloneparentsintotrainingandintojobscannotbeachievedonitsown.Betterco-ordinationisneededbetweenlocalstatutoryandvoluntaryagenciestoaddressthesocialisolation,lackofconfidenceandoftenpoorphysicalandmentalhealthofmanyloneparents.
Child maintenance–Currentlyparentswithcarewhoareonbenefitsonthe‘newscheme’areonlyallowedtokeep£10ofanychildmaintenancepaidbythenon-residentparent.Parentsontheoldschemedon’tevengetthat.TheGovernmentshouldincreasetheamountthatparentscankeep–theHenshawreportestimatedthatifloneparentsweretokeepthefullamountofchildmaintenancepaidbytheabsentparentwithoutitaffectingtheirbenefits(‘acompletedisregard’)thiscouldtakeupto900,000childrenoutofpoverty.
Familiesaffectedbydisability
An adequate minimum income–Workwillnotprovidetherouteoutofpovertyformanyfamiliesaffectedbydisability–becauseofparents’caringresponsibilities–sobenefitlevelsmustprovideabettersafetynetforthosewhocannotwork.
TheGovernmentshouldresearchtherealextracostsofcaringforadisabledchildsothatitcanmakeinformeddecisionsastothelevelatwhichtaxcreditsandbenefitsshouldbeset.
Employment –Parentscaringforadisabledchildandparentswhohaveadisabilityorhealthconditionthemselves,experiencemultiplebarriers–fromgettingontoWelfaretoWorkprogrammesthroughtofindingaffordableandaccessiblechildcare.
TheDWPshouldimproveaccesstoPathwaystoWorkbywideningeligibilityand/orimprovingsupportwithinNewDealssothattheycangethelpwithmanagingadisabilityorhealthcondition.
Governmentshouldprovideextrahelpwithchildcarecostsforfamilieswithdisabledchildrenbyincreasingthechildcareelementoftheworkingtaxcredittoreflecttheadditionalcoststheyincur.Extendedschoolsmustbeinclusiveofdisabledchildren.
Supporting families–earlyinterventionisneededtosupportfamilies.
TheGovernmentshouldallocatemorefundingtoprovideshort-breaksforparents–includingaccesstosessionalchildcare,togiveparentsafewhoursrespiteeveryweek.Suchservicescanmakearealdifferenceinhelpingparentstocope–sustainingrelationshipsandavoidingfamilybreakdown.
60 Itdoesn’thappenhere
Povertyinlargefamilies
Employment
n ThetargetsforJobcentrePlusshouldincludeaspecificemphasisonmeetingtheneedsofparentsoflargefamilies,especiallythroughmatchingindividualswithsuitablepart-timejobswhichoffertrainingandadvancement.
n Theupperlimitof£300onthechildcaretaxcreditshouldbeincreasedtoreflectmorerealisticallythecostsincurredbylargefamilies.
Improve educational attainment
n Educationmustbetrulyfreeatthepointofdelivery.Localauthoritiesmustensurethatschooluniformgrantsareprovidedtoprimaryaswellassecondaryschoolchildrenandthatthesecoverthecostsofallessentialitems,suchasPEequipment.
Childreninasylum-seekingfamilies
n Adultasylumseekersshouldbepermittedtowork,sothattheycansupportthemselves,contributetotheeconomyandstarttolifttheirfamiliesoutofpoverty.
n Adultasylumseekersshouldreceivetheequivalentof100percentofincomesupportandnot70percentasnow.
n Section9oftheAsylumandImmigrationAct2004,whichwouldremoveallsupportfromfailedasylum-seekingfamilieswhofailtoleave,shouldberecognisedasinhumaneandineffectiveandaformaldecisionmadenottoimplementit.
Childrenlivinginpoorhousing
n TheGovernmentmustincreasethesupplyofdecent,secureandaffordablehomes;wesupportShelter’scallontheGovernmenttodeliver20,000additionalsocialrentedhomesperannumontopofitstargetof30,000annuallyuntil2011,makingatotalof50,000socialrentedhomesperyear.
Youngpeople n Morefundingisneededtoprovideappropriateskillstraining,particularlyforyoungpeoplewhohavemissedoutonpre-16education.TheLeitchreviewsaysthatcurrenttrainingsuchasNVQsisnotmeetingemployers’needs;itidentifiesaneedformorework-relatedlifeskillssuchasgoodcommunicationandinterpersonalskills.
n ThecurrentEntrytoEmployment(E2E)trainingprovidessuchskillstrainingbutislimitedto16weeks.Thisisinsufficientforthoseyoungpeoplewhohavehaddisruptedlives–suchasthoseincare–orwhotakelongertolearn–suchasthosewithspecialneeds.AmoreflexibleapproachisneededtofundingE2Eforlongerperiodsforyoungpeopleassessedasneedingextrasupport.
n ThereshouldbeamandatoryrequirementthatlocalauthoritiesdonotdeductEMAincomefromthepersonalallowancesof16and17-year-oldcareleavers–thiswouldgivearealincentiveforthemtoengageineducationortraining.
n TheSingleRoomRentpolicycancauseseverehardshipforyoungpeople,particularlyforthosewhoarelivingindependently.Thepolicyshouldbeabolishedforyoungpeoplelivingindependentlywhoareeitherineducationortrainingorareontheminimumwage.
n Asameans-testedbenefit,incomesupportpaymentsshouldbebasedonindividualfinancialcircumstancesandwearenotawareofanyevidencetoshowthatover-25shavegreaterfinancialpressuresthantheiryoungercounterparts.Thereforetheagedifferentialsshouldbediscardedandyoungpeopleshouldbeassessedinthesamewayasadults.
n Workingtaxcreditsshouldbeextendedtothosepeopleunder25whoareontheminimumwage.
Moreworkshouldbedonetoprovidesupportedemploymentforcareleaversandothervulnerableyoungpeople.Forexample,Barnardo’sYouthbuildProjectinPaisley,Scotlandhasdevelopedanexcellentpartnershipwithlocalconstructioncompanies,providingtrainingandemploymentforyoungpeople.
61
Group Presentpopulationofchildreningroup(millions)
%ofchildreninthisgroupinpoverty(AHC)in2004/05
%ofchildreninthisgroupinpoverty
%agechange
Approximatechangeinthousands(tothenearest10,000,basedonpresentpopulation)
%ofchildreninthisgroupinpoverty
%agechange
Approximatechangeinthousands(tothenearest10,000,basedonpresentpopulation)
Lone-parentfamilies
3.2 48 49 1 30 38 -10 -320
Lone-parentnotworking
1.7 72 74 2 30 58 -14 -240
Onefull-timeearner,onenotworking
2.2 21 24 3 70 17 -4 -90
3children 2.6 30 29 -1 -30 19 -11 -290
4+children 1.2 50 49 -1 -10 25 -25 -300
Disabledadult 2.4 40 39 -1 -20 30 -10 -240
Disabledchild 1.5 30 32 2 30 21 -9 -140
Indian 0.3 33 32 -1 0 25 -8 -20
Pakistani/Bangladeshi
0.5 57 65 8 40 47 -10 -50
BlackorblackBritish
0.5 43 44 1 10 36 -7 -40
Projections2010Baseline2004/05HBAI Oncurrentpolicies(middle
employmentscenario)Withadditional£3.8billion
Appendix2:MethodologicalnoteonprojectionsTheprojectionsinthisreportarebasedonmodellingbytheInstituteforFiscalStudies(IFS).TheoriginalmodellingwascarriedoutfortheJosephRowntreeFoundationin2006andisreported,withdetailsofthemodellingmethodology,MikeBreweret al.(2006).
AdditionalmodellingcarriedoutbytheIFSforthepresentstudyestimatedbreakdownsforsubgroupsofthepopulation,andalsoadjustedtheestimatesinthelightofBudget2007changes.
Themodellingusedthebaselineof2004/05HBAI(afterhousingcostsontheMcClementsscale)andforthegroupsbelowestimatedwhatpovertyrateswouldbeby2010:
nOnpresentpolicies(includingmeasuresin2007Budget).nIftheadditional£3.8billionwerespentasrecommendedinthisreport.
62 Itdoesn’thappenhere
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63
1 ThelatestHouseholdsBelowAverageIncomesurveyfor2005/06showsthattherewere3.8mchildrenlivinginpovertyonanafterhousingcostsmeasure–anincreaseof200,000since2004/05–and2.8mbeforehousingcosts–anincreaseof100,000overthepreviousyear(DepartmentforWorkandPensions,2007a).
2 OfficeforNationalStatistics–www.nationalstatistics.org.uk/pdfdir/efs0107.pdf–excludingmortgageinterestpaymentsandcounciltax
3 ThisreportusesthesamedefinitionofpovertyasusedbytheGovernmentinOpportunityforAll(DWP,2002).Thepovertylineis60percentofmedianincomelevel–wherethemedianisthelevelofincomeafterdirecttaxesandbenefits,adjustedforhouseholdsize,suchthathalfthepopulationisabovethelevelandhalfbelowit.Thisdefinitionisastandardthatchangesasmedianincomelevelschange;itisameasureofrelativepoverty.Peoplelivinginpovertyaredefinedasthoselivingonlessthan60percentofmedianincome,afterhousingcosts.
4 SeeSection45 Afterhousingcosts–thatis,rent/mortgageandcounciltax6 Allbenefitfiguresrelateto2005/06benefitlevelsandareafterhousing
costs–thepovertylineusedisfrom2004/05HouseholdsBelowAverageIncome(DepartmentforWorkandPensions,2006a),updatedto2006.
7 SeeSection78 DepartmentforWorkandPensions(2007a)9 DepartmentforWorkandPensions(2007a)10 EqualitiesReviewPanel(2007)11 LaValleetal.(2007)12 Smithetal.(2007)13 Upto80percentofcosts:upto£175foronechildand£300fortwo
ormorechildren14 GillOandSharmaN(2004)Foodpovertyintheschoolholidays.
Barnardo’sSouthWest,Bristol15 HMTreasuryandDepartmentforEducationandSkills(2007)16 Thegovernment’sdefinitionoffuelpovertyiswhenahouseholdneeds
tospend10percentormoreofincometomaintainasatisfactoryheatingregime.Anyhouseholdspending20percentormoreofincomeonheatingisdeemedtobeinseverefuelpoverty.(DWP2006b)
17 OfficeforNationalStatistics(2007)18 NationalEnergyActionandEnergyActionScotland(2006)19 DWP(2006b)20 http://www.energywatch.org.uk/media/news/show_release.asp?article_
id=102321 Fromhttp://www.debt-on-our-doorstep.com/DooD_Leaflet_final.pdf22 EstimatedbytheInstituteforFiscalStudiesforthisreport.This
couldconsistofa£20premiuminchildtaxcreditforthethirdandsubsequentchildand£11aweekextraontheperchildelementofchildtaxcredit.
23 TheDepartmentforWorkandPensionsandtheWelshAssemblyare‘povertyproofing’allpoliciesfortheirimpactonchildpovertyandtheWelshAssemblyhasintroduced‘programmebending’aimedatensuringthatallfundingandprogrammesbenefitthepoorestchildrenandfamiliesthemost.
24 Thiswillcost£98millioninEngland,£6millioninWales,£9.5millioninScotlandand£5millioninNorthernIrelandforprimaryandsecondaryschoolchildren.Thiswouldcostabout£90achildintheUKfor13weeksofschoolholidays.
25 DonaldHirschisanindependentconsultantonsocialpolicy.HeisauthorofWhatwillittaketoendchildpoverty?Firingonallcylinders,publishedin2006bytheJosephRowntreeFoundation.HeisspecialadvisertotheFoundation,butwritesthischapterinanindependentcapacity.
26 Hirsch(2006)27 Thefiguresusedbelowcomefromthe‘HouseholdsBelowAverage
Income’surveyfor2005/06,exceptwherestatedotherwise(DepartmentforWorkandPensions2007a).Notethatthescalebeingusedinthissurvey,publishedinMarch2007,isdifferentfromthatusedinpreviousyears.Thewayinwhichfamilyincomeis‘equivalised’,i.e.adjustedforhouseholdcomposition,hasbeenchangedfromthe‘McClements’scaletothe‘modifiedOECD’scale,whichallowseasiercomparisonwithothercountries.Theresultistoraiseslightlythenumberofchildrenreportedtobeinrelativepovertycomparedtopreviouspublications,butallcomparisonsovertimeusedhereareonacommonscale,andsorepresentgenuinechanges.
NotealsothatthedatausedhereisthatreleasedbytheDWPin
March2007.InApriltheDWPissuedapressnoticeannouncingthatamistakehadbeenmadeinprocessingdata,andthatinMay,correctfigureswouldbereleased,andthesearebeingawaitedasthisreportgoestopress.However,theDWPalsoannouncedthattheoverallchildpovertyfigureswouldnotchange.Itispossiblethatsomefiguresusedinthisreportcouldchangebyaveryminoramount.
28 Lyonetal.(2006)pp205-208.29 Palmeretal.(2006)page3;Kenwayetal.(2005)page1130 Itisnotpossibletobreakdownatasubregionallevelthepercentage
ofpeoplelivingbelowtherelativeincomethreshold,butanalysisbasedonthenumberofpeoplereceivingout-of-workbenefitsshowsthatpovertyismorethantwiceashighinsomewardsthanthenationalaverage.Forbreakdownsseehttp://www.jrf.org.uk/child-poverty/regional.asp
31 DatafromFamilyExpenditureSurveysandFamilyResourcesSurveyscompiledbytheInstituteforFiscalStudiesshowthatbetween1961and1998/99,childpovertyneverfellformorethantwoyearsinsuccession.Between1998/99and2004/05itfellsixyearsinsuccession.
32 Hirsch(2006)page4233 Hirsch(2006)34 Kenwayetal.(2006)35 Hirsch(2006)36 Thatis,itcouldhavebeencausedbyerrorsintheestimatebasedon
asamplesurvey,ratherthanarealriseinpovertyinthewholechildpopulation.
37 Freud(2007)38 Hirsch(2006)39 Thestudysuggestedseveralillustrativepackagesthatwouldachieve
thetargetwiththislevelofspending.Itscentralpolicyscenariocomprisedariseinthechildtaxcreditfrom£37to£48.50andofthefamilyelementby£20eachforthethirdandsubsequentchildren(at2006prices).
40 Calculationssuppliedtotheauthor41 ThecalculationsshowninthisboxdonottakeNorthernIrelandinto
account,becausethesedatawerenotavailableatthetimeofthemodellingwork.In2007,theDWPhasproduceddataforthewholeoftheUK,includingaretrospectiveestimateofwhatitwasin1998/99.OnthisUK-widebasis,the‘baseline’figureforchildpovertyinthatyearis3.4million,withatargetofhalvingitto1.7million.
42 Beforehousingcostsusingthe‘modifiedOECD’scale43 TheJRFreport(Hirsch,2006)alsomadeprojectionsfor2020,referred
tointheindividualsectionsbelow,butthe2020estimatesaresubjecttogreatuncertainty,andtheanalysisherefocuseson2010.
44 DepartmentforWorkandPensions(2007a)45 Thecomparisoniscomplicatedbythefactthattheprojectionshown
hereisbasedontheolddefinitionofchildpoverty(‘McClementsscale’)inordertoensurecompatabilitywiththewayfigureswereanalysedin2004/05.Butthelatestfiguresshownfor2005/06inFigure3areonthenewbasis(‘modifiedOECDscale’).In2004/05ontheoldbasistheriskforPakistaniandBangladeshichildrenwas57percent;onthenewbasisin2005/06itwas67percent.Therisecanpartlybeattributabletothedifferencebetweenscales,butislargerthanthisdifferenceforothergroups.
46 DepartmentforWorkandPensions(2006a)47 DepartmentforWorkandPensions(2006b)48 EqualOpportunitiesCommission(2006)49 DepartmentforWorkandPensions(2007b)50 DepartmentforCommunitiesandLocalGovernment(2006)51 GillbornandMirza(2000)52 Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated.
53 Nameshavebeenchangedinthecasestudiestoprotectidentities54 AllcashpovertylinefiguresarebasedonHBAIfigures2004/05
(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006.
55 DepartmentforWorkandPensions(2006b),p.756 Harker(2006b)57 DepartmentforWorkandPensions(2007b)58 Harker(2006b)59 TheEffectiveProvisionofPre-schoolEducationProject(EPPE)tracked
morethan3,000childrenacrossBritainaged3to1060 Belletal.(2005).Thisisastudyofchildcareusefrombirthtoage14
seewww.ioe.ac.uk/projects/eppe61 GillbornandMirza(2000)
Notes
64 Itdoesn’thappenhere
62 GillbornandMirza(2000)63 FabianSociety(2006)64 Griggs(2006).QuotesfromtheleakedDfESreportGettingit,getting
itright65 Katzetal.(2001)66 www.livingwage.org.uk67 DepartmentforWorkandPensions(2007a)68 Palmeretal.(2006)69 Kempetal.(2006)70 Kempetal.(2006)71 Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated.
72 WhenthisreportwasgoingtoprintweheardthatWilsonhadbeen‘laidoff ’–hewasoneofthefirsttogoashehadbeenatworkforonlyfivemonthsandwasconsideredtobetemporarystaff.Hereceivedonlyoneweek’snoticeandnoredundancypay.
73 Palmeretal.(2006)74 Harker(2006b)75 Dorsettetal.(2007)76 Harker(2006b)77 DepartmentforWorkandPensions(2007b)78 DepartmentforWorkandPensions(2006a)79 Bradshaw(2006b)80 OfficeforNationalStatistics(2006)81 Harker(2006b)82 JosephRowntreeFoundation(2006)83 Kempetal.(2006)84 Hirsch(2006)85 Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated.
86 AllcashpovertylinefiguresarebasedonHBAIfigures2004/05(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006.
87 14percentofloneparentssaythattheirownhealthhasbeen‘notgood’overthelastyear,comparedto7percentofmothersincouplefamilies.20percentoflonemotherswhoaren’tworkingsaythattheirheathhasbeen‘notgood’inthelastyear.16percentofloneparentssaythattheyhavealongstandingdisabilityorillnesswhichlimitsdailyactivities(comparedwith9percentofmothersincouplefamilies)www.dwp.gov.uk/asd/asd5/rports2005-2006/rrep340.pdf
88 TheHiveisacommunitydevelopmentprojectprovidingarangeofservicesinpartnershipwithlocalagencies–serviceincludetrainingforparents,acrecheandafterschoolandholidayclubs
89 Greggetal.(2006)90 Harker(2006b)91 DepartmentforWorkandPensions(2007b)92 Ibid.93 DepartmentforWorkandPensions(2007b)94 In2003theDWPestablishedtheEmploymentRetentionand
AdvancementdemonstrationpilotsinsixJobcentrePlusdistricts–theinitialfindingsintermsofenteringandremaininginworkandincreasedearningslookpromising.
95 Harker(2006b)96 DepartmentforWorkandPensions(2007b)97 DepartmentforWorkandPensions(2007b)98 Itwouldconsistofa£20additiontoincomesupportforloneparents
whohavebeenoutofworkforatleastsixmonths,haveachildaged11yearsorolderandareundertakingwork-relatedactivity(whichmayincludetraining,sortingoutdebtordealingwithhealthproblems).Itwouldbeavailableonanopt-outbasis–loneparentswillbeeligibleunlesstheyspecificallydeclinetopreparetoreturntowork
99 DepartmentforWorkandPensions(2007a)Table4.5100EqualitiesReviewPanel(2007)101DaycareTrust(2007)102BradshawJ(2006a);Harker(2006b)103Bradshaw(2006a)104DepartmentforWorkandPensions(2006c)105The‘disregard’meansthataparentreceivingincome-basedjobseekers
allowanceisallowedtokeep£10ofanymaintenancepayment–anyamountabovethatisdeductedfromthebenefit.Itiscurrentlynotavailabletoparentswhoenteredthesystembetween1993andFebruary2003inclusive.Theextensionofthispremiumwillincludethepre-2003cohort(Skinneretal.(2007)
106Henshaw,2006;HouseofLordsHansard14February2006col.1127107Kempetal.(2006)108DepartmentforWorkandPensions(2007a)–notethatthisfigure
bringstogetherthelistedfiguresforthepercentageofdisabledchildrenlivinginpovertywhodonothaveadisabledparentandthepercentageofdisabledchildrenlivinginpovertywhodohaveadisabledparent
109Kempetal.(2006)110DobsonandMiddleton(1998)111DepartmentforWorkandPensions(2007a)112Lyonetal.(2006)113EmersonandHatton(2005)
114LangermanandWorral(2005)115Rickardsetal.(2004)116ThePrimeMinistersStrategyUnit(2005)117Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated.
118AllcashpovertylinefiguresarebasedonHBAIfigures2004/05(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006.
119PrestonandRobinson(2006)120Russell(2003)121 Sharma(2002)122Harker(2006b)123Apersonmustworkaminimumof16hoursbeforebecomingentitled
toworkingtaxcreditsincludingthechildcareelement124Harker(2006b)125ParliamentaryHearingsonServicesforDisabledChildren(2006)126NationalAuditOffice(2004)127Wilsonetal.(2003)128Familiesinreceiptofworkingtaxcreditscanbeentitledtohelpwith
childcarecosts–theycanclaimupto80percentofchildcarecosts–£175foronechildand£300fortwoormorechildren
129EmersonandHatton(2005)130ContactaFamily(2004)131Bradshawetal.(2006)132WillittsandSwales(2003)133Bradshawetal(2006)134Kenwayetal.(2006)135IacovouandBerthoud(2006)136Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated
137AllcashpovertylinefiguresarebasedonHBAIfigures2004/05(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006
138FiguresprovidedbytheInstituteofFiscalStudies139http://www.cpag.org.uk/MakeChildBenefitCount/ChildBenefit_6.htm140DepartmentforWorkandPensions(2007b)141HillsandSteart(2005)142AllcashpovertylinefiguresarebasedonHBAIfigures2004/05
(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006
143KelleyandMeldgaard(2005)144RefugeeCouncil(2002)145Allbenefitfiguresshowninthecasestudychaptersarefor2006,when
theinterviewswerecarriedout,andallareafterhousingcostsunlessotherwiseindicated
146AllcashpovertylinefiguresarebasedonHBAIfigures2004/05(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006
147Barnesetal.(2006)148SeeTable104DwellingStockbyTenure,England.DCLG:www.
communities.gov.uk/pub/10/Table104_id1156010.xls149FamiliesinTemporaryAccommodation150AllcashpovertylinefiguresarebasedonHBAIfigures2004/05
(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006
151Harker(2006a)152Youngpeople,unlessinlocalauthoritycarebeforelivingindependently,
aresubjecttothesingleroomreferencerent.Thislimitsthehousingentitlementforsingleunder-25stotheaveragelocalrentforasingleroomwithshareduseofallfacilities
153DepartmentforEducationandSkills(2006)154Ibid155AllcashpovertylinefiguresarebasedonHBAIfigures2004/05
(DepartmentforWorkandPensions,2006a)andupdatedtoreflectbenefitandcostoflivingincreasesto2006
156Leitch(2006)157JayneisMichelle’ssisterandhercasestudyisinSection4.Jaynewasa
serviceuseratBarnardo’sHiveProject,NorthEast,whichhelpedhertoacquiretheconfidenceand‘softskills’tomakeapositivedifferencetoherlife
158 Holzeretal.(2007)159EstimatedbytheInstituteforFiscalStudiesforthisreport.This
wouldconsistofa£20premiuminchildtaxcreditforthethirdandsubsequentchildand£11aweekextraontheperchildelementofchildtaxcredit.
160TheDepartmentforWorkandPensionsandtheWelshAssemblyare‘povertyproofing’allpoliciesfortheirimpactonchildpovertyandtheWelshAssemblyhasintroduced‘programmebending’aimedatensuringthatallfundingandprogrammesbenefitthepoorestchildrenandfamiliesthemost
161Thiswillcost£98millioninEngland,£6millioninWales,£9.5millioninScotlandand£5millioninNorthernIrelandforprimaryandsecondaryschoolchildren.Thiswouldcostabout£90achildintheUKfor13weeksschoolholidays.
Itdoesn’thappenhere
Head Office,TannersLane,Barkingside,Ilford,EssexIG61QG.Telephone:02085508822.Northern Ireland,542/544UpperNewtownardsRoad,BelfastBT43HE.Telephone:02890672366.
Scotland,235CorstorphineRoad,EdinburghEH127AR.Telephone:01313349893.Cymru/Wales,TridentCourt,EastMoorsRoad,CardiffCF245TD.Telephone:02920493387.
‘I do without my dinner quite a lot – in fact I would say about four days out of the week, I pretend
that I have had my dinner. I would rather give the kids their dinner.’
www.barnardos.org.uk/poverty
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