TABLES AND FIGURES
Table 1
NUMBER OF
CHILDREN BELOW
VARIOUS POVERTY
LINES, AFTER
HOUSING COSTS
|
| Income after housing costs
|
| 50% median
| 60% median | 70% median
|
|
| No of children, million |
| | |
| s1996-97 | 3.0
| 4.3 | 5.4
|
| 1997-98 | 3.0
| 4.2 | 5.2
|
| 1998-99 | 3.0
| 4.2 | 5.3
|
| 1999-2000 | 2.8
| 4.1 | 5.2
|
| 2000-01 | 2.5
| 3.9 | 5.0
|
| 2001-02 | 2.4
| 3.8 | 4.9
|
| Change 1998-99 to 2001-02 | -0.5
| -0.4 | -0.4
|
| Change required 2001-02 to 2004-05 to reduce by one quarter since 1998-99
| -0.2 | -0.6
| -1.0 |
|
Source:
IFS calculations based on Family Resources Survey.
Note:
These numbers are almost the same as those to be found in Department
for Work and Pensions, (2003), Households Below Average Income
1994-05 to 2001-02, Leeds: CDS. Changes are based on un-rounded
numbers.
Table 2
NUMBER OF
CHILDREN BELOW
VARIOUS POVERTY
LINES, BEFORE
HOUSING COSTS
|
| Income after housing costs
|
| 50% median
| 60% median | 70% median
|
|
| No of children, million |
| | |
| 1996-97 | 1.6
| 3.2 | 4.6
|
| 1997-98 | 1.6
| 3.2 | 4.6
|
| 1998-99 | 1.6
| 3.1 | 4.5
|
| 1999-2000 | 1.5
| 3.0 | 4.5
|
| 2000-01 | 1.4
| 2.7 | 4.2
|
| 2001-02 | 1.3
| 2.7 | 4.3
|
| Change 1998-99 to 2001-02 | -0.3
| -0.5 | -0.2
|
| Change required 2001-02 to 2004-05 to reduce by one quarter since 1998-99
| -0.1 | -0.3
| -0.9 |
|
Source and note: See Table 1.
Table 3
NUMBER OF
CHILDREN BELOW
VARIOUS POVERTY
LINES FIXED
IN REAL
TERMS, AFTER
HOUSING COSTS
|
| Income after housing costs
|
|
| 50% median
| 60% median | 70% median
|
| No of children, million | |
| |
| | |
|
| 1996-97 | 3.0
| 4.3 | 5.4
|
| 1997-98 | 2.8
| 4.2 | 5.1
|
| 1998-99 | 2.6
| 4.0 | 5.0
|
| 1999-2000 | 2.2
| 3.6 | 4.
|
| 2000-01 | 1.7
| 3.0 | 4.2
|
| 2001-02 | 1.3
| 2.5 | 3.7
|
|
Source:
IFS calculations based on Family Resources Survey.
Note:
These numbers are almost the same as those to be found in Department
for Work and Pensions, (2003), Households Below Average Income
1994-05 to 2001-02, Leeds: CDS. Changes and percentage changes
are based on un-rounded numbers.
Table 4
NUMBER OF
CHILDREN BELOW
VARIOUS POVERTY
LINES FIXED
IN REAL
TERMS, BEFORE
HOUSING COSTS
|
| Income before housing costs
|
| 50% median
| 60% median | 70% median
|
|
| No of children, million | |
| |
| 1996-97 | 1.6
| 3.2 | 4.6
|
| 1997-98 | 1.6
| 3.2 | 4.6
|
| 1998-99 | 1.5
| 3.1 | 4.5
|
| 1999-2000 | 1.4
| 2.8 | 4.2
|
| 2000-01 | 1.2
| 2.4 | 3.9
|
| 2001-02 | 1.0
| 2.0 | 3.4
|
|
Source and note: see Table 1.
Table 5
EFFECT OF
POSSIBLE INCREASES
IN PER-CHILD
ELEMENT OF
THE CHILD
TAX CREDIT
IN APRIL
2004
|
| Increase in per-child elementof child tax credit in April 2004 (£ pw)
| Weekly per-child child tax redit rate, 2004 prices (£ pw)
| Number of children taken out of poverty (60% median income AHC) millions)
| Cost per year, 2004 prices (£ million)
|
|
| Average earnings growth +£2 | 31.05
| 0.1 | 660
|
| Average earnings growth +£3 | 32.05
| 0.2 | 1,000
|
| Average earnings growth +£5 | 34.05
| 0.4 | 1,690
|
| Average earnings growth +£10 | 39.05
| 1.0 | 3,460
|
| Other possible changes in April 2004 (£ pw)
| | | |
| £3 on child benefit | n/a
| 0.2 | 2,000
|
| £6 on the family element of child tax credit
| n/a | 0.2
| 2,100 |
|
Notes:
"Number of children taken out of poverty" is rounded
to the nearest 100,000 and "Cost per year" is rounded
to the nearest £10 million, but these should not be interpreted
as measures of accuracy. Changes are based on un-rounded numbers.
The poverty line was allowed to move if the reform altered median
household income.
Source:
Taken from Brewer and Kaplan (2003).
Table 6
MEDIAN HOUSEHOLD
INCOME, 1996-97—2001-02
(IN 2001-02 PRICES)
|
| Income after housing costs
|
| Median income
| 60% median (ie the poverty line)
| Annual growth |
|
| 1996-97 | £231
| £138 | 5.3%
|
| 1997-98 | £235
| £141 | 1.7%
|
| 1998-99 | £239
| £144 | 2.0%
|
| 1999-2000 | £249
| £149 | 4.0%
|
| 2000-01 | £259
| £156 | 4.4%
|
| 2001-02 | £274
| £165 | 5.6%
|
| Change 1998-99 to 2001-02 | £32
| £21 | 14.7%
|
|
Source:
From Brewer, Goodman, and Shephard (2003), How has child poverty
changed under the Labour Government? http://www.ifs.org.uk/inequality/bn32.pdf
Note:
These numbers are almost the same as those to be found in Department
for Work and Pensions, (2003), Households Below Average Income
1994-95 to 2001-02, Leeds: CDS. These figures relate to a
couple household with no children. Values for other types of household
can be calculated using the McClements scale, the details of which
can be found in Appendix B of DWP, 2003, op cit.
Table 7
POVERTY GAP
FOR HOUSEHOLDS
WITH CHILDREN,
1996-97 AND 2000-01
|
| Poverty line | Poverty gap
| 1996-97 | 2000-01
|
|
| 50% mean | Median (£/wk)
| 39.58 | 46.69
|
| Mean (£/wk) | 56.50
| 71.27 |
| Number of poor households with children (million)
| 2.1 | 2.0
|
| 50% median | Median (£/wk)
| 26.26 | 33.65
|
| Mean (£/wk) | 46.23
| 62.95 |
| Number of poor households with children (million)
| 1.4 | 1.2
|
| 60% median | Median (£/wk)
| 38.73 | 43.74
|
| Mean (£/wk) | 55.82
| 68.49 |
| Number of poor households with children (million)
| 2.1 | 1.9
|
| 70% | Median (£/wk) |
71.73 | 84.89
|
| Mean (£/wk) | 55.52
| 62.44 |
| Number of poor households with children (million)
| 2.6 | 2.4
|
|
Notes:
From Brewer, Clark and Goodman (2003), op cit. Measures
of the mean poverty gap are very sensitive to outliers in the
data. Calculated in line with the methodology in Table 4, the
aggregate poverty gap has increased, but when we depart from HBAI
methodology by setting negative AHC incomes to zero, we find
that the aggregate poverty gap got smaller. The conclusions of
this section do not change if we look at income measured BHC,
however.
Figure 1. Children Falling Below Various Relative Income
Poverty Lines (AHC)
Source:
IFS calculations based on Family Expenditure Survey (for years
until 1993) and Family Resources Survey thereafter.
Note:
These numbers are almost the same as those to be found in DWP
(2003), op cit. Poverty lines are fractions of the contemporary
median of household income across the whole population (ie not
just for children).
Figure 2. Children Falling Below Various Relative Income
Poverty Lines (BHC)
Source:
See Figure 1.
Figure 3. On Track for 2004-05? Children in Households
Below 60% Median Income (AHC)
Source:
See Table 1.
Mike Brewer and Alissa Goodman
Institute for Fiscal Studies
11 September 2003
|
