it doesn’t happen here - children’s charities | uk's leading ... · · 2013-01-31it...

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


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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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.


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.


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


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

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3.8

2004 – 5 target


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


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.


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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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%

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60%

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0%1998/9 2004/5 2010 on

present trends

Non-working lone parents

All lone parents

Single earner couple


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.


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.’


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.


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.


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.


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


–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.


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.


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.


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


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


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.


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.


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.


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.


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.


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.


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.)


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.


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.


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.


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.


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.


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.


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.


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.


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.


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.


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.


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.

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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.


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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


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


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


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


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


151Harker(2006a)152Youngpeople,unlessinlocalauthoritycarebeforelivingindependently,

aresubjecttothesingleroomreferencerent.Thislimitsthehousingentitlementforsingleunder-25stotheaveragelocalrentforasingleroomwithshareduseofallfacilities

153DepartmentforEducationandSkills(2006)154Ibid155AllcashpovertylinefiguresarebasedonHBAIfigures2004/05


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.


65Notes

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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