Child Poverty Bill

House of Commons

Session 2008 - 09
Internet Publications
Other Bills before Parliament

Child Poverty Bill

Child Poverty Bill
Part 1 — National targets, strategies and reports
1

A
Bill
To
Set targets relating to the eradication of child poverty, and to make other
provision about child poverty.
Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and
consent of the Lords Spiritual and Temporal, and Commons, in this present
Parliament assembled, and by the authority of the same, as follows:—
Part 1
National targets, strategies and reports
Targets relating to child poverty
1
Duty of Secretary of State to ensure that targets are met
(1)
It is the duty of the Secretary of State to ensure that the following targets are
5
met in relation to the United Kingdom in relation to the target year—
(a)
the relative low income target in section 2,
(b)
the combined low income and material deprivation target in section 3,
(c)
the absolute low income target in section 4, and
(d)
the persistent poverty target in section 5.
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(2)
The target year is the financial year beginning with 1 April 2020.
2
The relative low income target
(1)
The relative low income target is that less than 10% of children who live in
qualifying households live in households that fall within the relevant income
group.
15
(2)
For the purposes of this section, a household falls within the relevant income
group, in relation to a financial year, if its equivalised net income for the
financial year is less than 60% of median equivalised net household income for
the financial year.

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Child Poverty Bill
Part 1 — National targets, strategies and reports
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3
The combined low income and material deprivation target
(1)
The combined low income and material deprivation target is that less than 5%
of children who live in qualifying households—
(a)
live in households that fall within the relevant income group, and
(b)
experience material deprivation.
5
(2)
For the purposes of subsection (1)(a), a household falls within the relevant
income group, in relation to a financial year, if its equivalised net income for
the financial year is less than 70% of median equivalised net household income
for the financial year.
(3)
Regulations must specify the circumstances in which a child is to be regarded
10
for the purposes of subsection (1)(b) as experiencing material deprivation in a
financial year.
4
The absolute low income target
(1)
The absolute low income target is that less than 5% of children who live in
qualifying households live in households falling within the relevant income
15
group.
(2)
For the purposes of this section, a household falls within the relevant income
group, in relation to a financial year, if its equivalised net income for the
financial year is less than 60% of the adjusted base amount.
(3)
“The adjusted base amount”, in relation to a financial year, is the base amount
20
adjusted in a prescribed manner to take account of changes in the value of
money since the base year.
(4)
In this section—
“the base amount” means the amount of median equivalised net
household income for the base year;
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“the base year” means the financial year beginning with 1 April 2010.
5
The persistent poverty target
(1)
In relation to a financial year (“the relevant financial year”), the persistent
poverty target is that less than the target percentage of children who have lived
in qualifying households during each of the survey years have lived in
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households that have been within the relevant income group in at least 3 of the
survey years.
(2)
The survey years are—
(a)
the calendar year that ends in the relevant financial year, and
(b)
the 3 previous calendar years.
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(3)
For the purposes of this section, the target percentage is a percentage to be
prescribed by regulations made before 2015.
(4)
For the purposes of this section, a household falls within the relevant income
group, in relation to a calendar year, if its equivalised net income for the year
is less than 60% of median equivalised net household income for the year.
40
(5)
Instead of exercising the power conferred by subsection (3), the Secretary of
State may by regulations amend this section so as to substitute a different
persistent poverty target for that set out in subsections (1) to (4).

Child Poverty Bill
Part 1 — National targets, strategies and reports
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(6)
Regulations under subsection (5) may only be made—
(a)
before 2015, and
(b)
with the consent of the Commission.
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Interpretation of terms used in relation to targets
(1)
Regulations may for the purposes of this Part make provision about the
5
following—
(a)
what is a qualifying household;
(b)
the circumstances in which a child is or is not to be regarded as living
in a qualifying household;
(c)
what is to be regarded as the income of a household for a financial year;
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(d)
what deductions are to be made in calculating the net income of a
household;
(e)
how net household income is to be equivalised.
(2)
The deductions prescribed under subsection (1)(d) are not to include housing
costs, but regulations under that provision may provide that specified
15
expenses are not to be treated as housing costs.
(3)
In this Part “equivalised”, in relation to household income, means adjusted to
take account of variations in household size and composition.
(4)
In making regulations under subsection (1)(a), the Secretary of State must have
regard to the desirability of ensuring that the targets in sections 2 to 5 have as
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wide an application as is reasonably practicable, having regard to the statistical
surveys that are being or can reasonably be expected to be undertaken.
The Child Poverty Commission
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The Child Poverty Commission
(1)
There is to be a body called the Child Poverty Commission (in this Act referred
25
to as “the Commission”).
(2)
The Commission’s functions are those conferred on it by or under this Act.
(3)
Schedule 1 contains further provisions about the Commission.
(4)
The Secretary of State may by order provide for the Commission to cease to
exist on a day—
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(a)
specified in or determined in accordance with the order, and
(b)
falling after the target year.
(5)
An order under subsection (4) may contain such transitional or consequential
provision as the Secretary of State considers necessary or expedient in
connection with the abolition of the Commission.
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(6)
That provision may include provision amending, repealing or revoking—
(a)
the provisions of this Act so far as relating to the Commission;
(b)
any provision of any other Act (whenever passed);
(c)
any provision of any instrument made under an Act (whenever made).

Child Poverty Bill
Part 1 — National targets, strategies and reports
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Strategies: duties of Secretary of State
8
UK strategies
(1)
The Secretary of State must, before the end of the period of 12 months
beginning with the day on which this Act is passed, publish and lay before
Parliament the first UK strategy.
5
(2)
A “UK strategy” is a strategy under this section setting out the measures that
the Secretary of State proposes to take—
(a)
for the purpose of complying with section 1 (duty to ensure that targets
are met), and
(b)
for the purpose of ensuring as far as possible that children in the United
10
Kingdom do not experience socio-economic disadvantage.
(3)
A UK strategy may also refer to proposals of the Scottish Ministers, the Welsh
Ministers or the relevant Northern Ireland department.
(4)
Before the end of the period to which a UK strategy relates, the Secretary of
State must review the strategy and publish and lay before Parliament a revised
15
UK strategy, but this subsection does not apply after the beginning of the target
year.
(5)
In preparing a UK strategy, the Secretary of State must consider what (if any)
measures ought to be taken in each of the following areas—
(a)
the promotion and facilitation of the employment of parents or of the
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development of the skills of parents,
(b)
the provision of financial support for children and parents,
(c)
health, education and social services, and
(d)
housing, the built or natural environment and the promotion of social
inclusion.
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(6)
A UK strategy must—
(a)
where it relates to a period ending before the end of the target year—
(i)
describe the progress that the Secretary of State considers needs
to be made by the end of the period to which the strategy relates
if the targets in sections 2 to 5 are to be met in relation to the
30
United Kingdom in relation to the target year, and
(ii)
describe the other progress that the Secretary of State intends to
make by the end of the period to which the strategy relates in
achieving the purpose mentioned in subsection (2)(b), and
(b)
describe the progress that the Secretary of State intends to make by the
35
end of the target year in achieving the purpose mentioned in subsection
(2)(b), otherwise than by ensuring that the targets are met.
(7)
A UK strategy other than the first must also—
(a)
describe the measures taken in accordance with the previous UK
strategy and the measures taken in accordance with a Scottish strategy,
40
a Welsh strategy or a Northern Ireland strategy,
(b)
describe the effect of those measures on progress towards meeting the
targets in sections 2 to 5, and
(c)
describe other effects of those measures that contribute to the
achievement of the purpose mentioned in subsection (2)(b).
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Part 1 — National targets, strategies and reports
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(8)
References in this section to the period to which a UK strategy relates are
references to the period beginning with the date on which the UK strategy is
laid before Parliament and—
(a)
except in the case of a UK strategy laid before Parliament less than 3
years before the beginning of the target year, ending 3 years later, and
5
(b)
in that excepted case, ending with the target year.
9
Provision of advice by Commission and consultation with others
(1)
In preparing a UK strategy, the Secretary of State must request the advice of the
Commission, and specify in the request the date by which the advice is to be
given.
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(2)
The Secretary of State may at any time request the Commission to give advice,
by a specified date, on any matter connected with—
(a)
a UK strategy, or
(b)
the targets in sections 2 to 5.
(3)
The Secretary of State must have regard to any advice given by the
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Commission under this section.
(4)
In preparing a UK strategy, the Secretary of State—
(a)
must consult such local authorities or associations of local authorities in
England as the Secretary of State thinks fit,
(b)
must consult the Scottish Ministers, the Welsh Ministers and the
20
relevant Northern Ireland department,
(c)
must consult such children, or organisations working with or
representing children, as the Secretary of State thinks fit, and
(d)
may consult such other persons as the Secretary of State thinks fit.
(5)
In preparing a UK strategy, the Secretary of State must have regard to any
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Scottish strategy, Welsh strategy or Northern Ireland strategy.
Strategies: duties of Scottish Ministers and relevant Northern Ireland department
10
Scottish strategies
(1)
The Scottish Ministers must, before the end of the period of 12 months
beginning with the day on which this Act is passed, publish and lay before the
30
Scottish Parliament the first Scottish strategy.
(2)
A “Scottish strategy” is a strategy under this section setting out the measures
that the Scottish Ministers propose to take—
(a)
for the purpose of contributing to the compliance by the Secretary of
State with section 1 (duty to ensure that targets are met), and
35
(b)
for the purpose of ensuring as far as possible that children in Scotland
do not experience socio-economic disadvantage.
(3)
Before the end of the period to which a Scottish strategy relates, the Scottish
Ministers must review the strategy and publish and lay before the Scottish
Parliament a revised Scottish strategy, but this subsection does not apply after
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the beginning of the target year.
(4)
A Scottish strategy must—
(a)
where it relates to a period ending before the end of the target year—

Child Poverty Bill
Part 1 — National targets, strategies and reports
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(i)
describe the progress that the Scottish Ministers intend to make
in Scotland by the end of the period to which the strategy relates
in contributing to the meeting of the targets in sections 2 to 5 in
relation to the target year,
(ii)
describe the other progress that the Scottish Ministers intend to
5
make by the end of the period to which the strategy relates in
achieving the purpose mentioned in subsection (2)(b), and
(b)
describe the progress that the Scottish Ministers intend to make by the
end of the target year in achieving the purpose mentioned in subsection
(2)(b), otherwise than by contributing to the meeting of the targets.
10
(5)
A Scottish strategy other than the first must also—
(a)
describe the measures taken by the Scottish Ministers in accordance
with the previous Scottish strategy,
(b)
describe the effect of those measures in contributing to the meeting of
the targets in sections 2 to 5, and
15
(c)
describe other effects of those measures that contribute to the
achievement of the purpose mentioned in subsection (2)(b).
(6)
A Scottish strategy may not include proposals that relate to reserved matters,
within the meaning of the Scotland Act 1998.
(7)
References in this section to the period to which a Scottish strategy relates are
20
references to the period beginning with the date on which the Scottish strategy
is laid before the Scottish Parliament and—
(a)
except in the case of a Scottish strategy laid before that Parliament less
than 3 years before the beginning of the target year, ending 3 years
later, and
25
(b)
in that excepted case, ending with the target year.
11
Northern Ireland strategies
(1)
The relevant Northern Ireland department must, before the end of the period
of 12 months beginning with the day on which this Act is passed, publish and
lay before the Northern Ireland Assembly the first Northern Ireland strategy.
30
(2)
A “Northern Ireland strategy” is a strategy under this section setting out the
measures that the relevant Northern Ireland department proposes to take—
(a)
for the purpose of contributing to the compliance by the Secretary of
State with section 1 (duty to ensure that targets are met), and
(b)
for the purpose of ensuring as far as possible that children in Northern
35
Ireland do not experience socio-economic disadvantage.
(3)
Before the end of the period to which a Northern Ireland strategy relates, the
relevant Northern Ireland department must review the strategy and publish
and lay before the Northern Ireland Assembly a revised Northern Ireland
strategy, but this subsection does not apply after the beginning of the target
40
year.
(4)
A Northern Ireland strategy must—
(a)
where it relates to a period ending before the end of the target year—
(i)
describe the progress that the relevant Northern Ireland
department intends to make in Northern Ireland by the end of
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the period to which the strategy relates in contributing to the

Child Poverty Bill
Part 1 — National targets, strategies and reports
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meeting of the targets in sections 2 to 5 in relation to the target
year,
(ii)
describe the other progress that the relevant Northern Ireland
department intends to make by the end of the period to which
the strategy relates in achieving the purpose mentioned in
5
subsection (2)(b), and
(b)
describe the progress that the relevant Northern Ireland department
intends to make by the end of the target year in achieving the purpose
mentioned in subsection (2)(b), otherwise than by contributing to the
meeting of the targets.
10
(5)
A Northern Ireland strategy other than the first must also—
(a)
describe the measures taken by the relevant Northern Ireland
department in accordance with the previous Northern Ireland strategy,
(b)
describe the effect of those measures in contributing to the meeting of
the targets in sections 2 to 5, and
15
(c)
describe other effects of those measures that contribute to the
achievement of the purpose mentioned in subsection (2)(b).
(6)
A Northern Ireland strategy may not include proposals that relate to excepted
or reserved matters, within the meaning of the Northern Ireland Act 1998.
(7)
References in this section to the period to which a Northern Ireland strategy
20
relates are references to the period beginning with the date on which the
Northern Ireland strategy is laid before the Northern Ireland Assembly and—
(a)
except in the case of a Northern Ireland strategy laid before the
Assembly less than 3 years before the beginning of the target year,
ending 3 years later, and
25
(b)
in that excepted case, ending with the target year.
12
Advice and consultation: Scotland and Northern Ireland
(1)
In preparing a Scottish strategy or a Northern Ireland strategy, the devolved
administration must request the advice of the Commission, and specify in the
request the date by which the advice is to be given.
30
(2)
The devolved administration must have regard to any advice given by the
Commission under this section.
(3)
In preparing a Scottish strategy or a Northern Ireland strategy, the devolved
administration—
(a)
in the case of a Scottish strategy, must consult such local authorities or
35
associations of local authorities in Scotland as the devolved
administration thinks fit,
(b)
must consult the Secretary of State,
(c)
must consult such children, or organisations working with or
representing children, as the devolved administration thinks fit, and
40
(d)
may consult such other persons as the devolved administration thinks
fit.
(4)
In this section “the devolved administration” means—
(a)
in relation to a Scottish strategy, the Scottish Ministers, and
(b)
in relation to a Northern Ireland strategy, the relevant Northern Ireland
45
department.