APPENDIX 3
Child Poverty in Northern Ireland
The causes of the high levels of child poverty
in Northern Ireland are complex but inter-related. They are: unemployment,
low pay, a higher cost of living and slightly larger families.
High levels of unemployment and underemployment remain a problem
in Northern Ireland, despite the official figures suggesting an
improvement. The Labour Force Survey shows that long term unemployment
as a percentage of total unemployed is much worse for NI than
any other region of the UK—3.5% compared to a UK average
of 27.5% and 34.2% in the North East, which is the next worst.
When the numbers on government training and work schemes, those
underemployed and those not registered as unemployed but nonetheless
seeking work are taken into account, unemployment rates in parts
of Northern Ireland are high. For example, the Centre for Economic
and Social Inclusion suggests that real unemployment in the Foyle
constituency is closer 24%.[122]
A recent recruitment campaign in Derry City by Debenhams department
store drew 6,000 applicants for some 200 jobs.[123]
Further we know that, within the UK generally, the employment
rate for disabled people is significantly below the level for
the wider population. There are high rates of disability and long
term illness in NI; the 2001 Census revealed that 41% of households
have one or more people with a limiting long-term illness.
Households in Northern Ireland earn on average
20% less than those in the rest of the UK.[124]
Further, NI is promoted to foreign direct investors as a low wage
economy. For example, the Invest NI website tells overseas companies
that wages are "up to 32% lower than in the US and 25% lower
than the EU average".[125]21%
of average household income is derived from social security benefits,
compared to 12% in the UK generally. As a result of lower wages
and greater dependence on benefits, average household income is
22% lower than the UK average. At the same time, providing necessities
such as fuel, light and food costs everyone more—26% of
average household income in NI compared to a UK average of 20%.[126]
While the fertility rate in NI has dropped considerably
in recent years and now stands at 1.9, the region continues to
have a higher proportion of children in its population than any
other part of the UK, with 36.5% of all households containing
dependent children.[127]
9 September 2003
122 Centre for Economic and Social Inclusion (formerly
Unemployment Unit), Unemployment in Parliamentary Constituencies,
February 2003. Back
123
Derry Journal, 1 July 2003. Back
124
(HMSO, 2000), Regional Trends. Back
125
http://www.investni.com/invest/WhyNI/people.asp. Back
126
NISRA (2000), NI Family Expenditure Survey Report for 1998-99. Back
127
NISRA (2003), Census 2001: Key Statistics, Table KS21. Back
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