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Falkirk Council

Child Poverty Wider Children’s Commission 26 January 2016 Robert Naylor. Falkirk Council. Introduction. What is poverty? How does poverty impact on children? Child poverty in the Falkirk area Impact of welfare reform changes What can we do?. Falkirk Council. Poverty Strategy.

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Falkirk Council

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  1. Child Poverty Wider Children’s Commission 26 January 2016 Robert Naylor Falkirk Council

  2. Introduction • What is poverty? • How does poverty impact on children? • Child poverty in the Falkirk area • Impact of welfare reform changes • What can we do? Falkirk Council

  3. Poverty Strategy • Towards a Fairer Falkirk – tackling poverty and inequalities • Aims to mitigate impact of poverty in key areas: • Housing • Health and wellbeing • Children • Communities and participation • Vulnerable groups including: • Lone parents with dependent children • Households with younger children or more than 2 children, in receipt of benefits or low-paid work • Looked after children and care-leavers Falkirk Council

  4. Poverty Strategy Outcomes • Vulnerable children will be protected • Children and young people will: • Be healthy and happy and enabled to make positive decisions about their own health and wellbeing; • Achieve their potential through learning and creativity, developing skills and knowledge to make them fulfilled, happy adults; and • Grow up in a safe environment where they are protected, loved and enabled to enjoy their lives. Falkirk Council

  5. What is Poverty? • Poverty means different things to different people • Not having enough money to live on causes poverty • Relative poverty – 60% below median income Falkirk Council

  6. What is 60% below median income? • £182 per week • £272 per week • £326 per week • £416 per week Falkirk Council

  7. 60% below median income (including housing costs) Falkirk Council

  8. How much does a family need? • Minimum Income Standard (UK) • Based on what the UK public think is an acceptable living standard in our society • Shows how much income is needed to buy a ‘basket’ of goods to let someone participate in society • 2 adult 2 kid family needs £685 per week (including housing and childcare costs) Falkirk Council

  9. Minimum Income Standard Falkirk Council

  10. Minimum Income Standard Falkirk Council

  11. Families in Poverty • 2 adults, 2 kids family in poverty has < £375 per week (excluding rent and Council tax) Can afford: Food - £106 Fuel - £23 Contents Insurance - £2 Clothing - £39 Travel - £74 Household costs - £35 Personal costs - £41 House maintenance - £10 Social/cultural activities - £45 (out of £93) Can’t afford: Childcare £148 Social/cultural activities - £48 (out of £93) • On out of work benefits, this family would receive £266.72 per week (excluding housing and council tax) Falkirk Council

  12. National Living Wage and Minimum Income Standard Falkirk Council

  13. Rates of child poverty in Scotland Overall: 1 in 5 Disabled households: 1 in 3 Unemployed: 2 in 3 Falkirk Council

  14. Child Poverty in Falkirk • 21% of children in the Falkirk Council area are living in Relative Poverty (after housing costs) • This equates to 7090 children • 3078 children live in 15% most deprived areas • Poverty is everywhere ‘child in every class’ • 59% of children in poverty live in a household where at least one adult is in work • More than 2000 children received food from the Falkirk Foodbank in 18 months Falkirk Council

  15. How does Poverty Impact on Children? • Living conditions • Damp/cold - increased risk of long term respiratory problems such as asthma • Overcrowding – lack of space to sleep, lack of space to do homework • Lack of food/healthy food • Affects ability to learn • Can lead to long term health conditions such as diabetes • Inclusion • Lack of clothing/possessions can make it hard to form friendships and lead to bullying • Less likely to participate in school trips • Aspirations and expectations • Children from low income families half as likely to go on to higher education than those from better off families Falkirk Council

  16. Impact of Welfare Reform changes • £44m per annum in Falkirk area once changes fully rolled out • Greatest impact on families (and people with disabilities) • Couple with dependent children - lose £1400 pa • Lone parent with dependent children - lose £1800 pa • Significant impact on low paid in work Falkirk Council

  17. Further Welfare Reform changes • Tax Credits income thresholds are reducing • Impact will be offset for some by National Living Wage • Some families will be better off whilst others will be worse off • Tax credits determine entitlement for free school meals and free child care and education from 2 years old • Scottish Government have committed to mitigate impact on entitlement to free school meals Falkirk Council

  18. Further Welfare Reform changes • Housing benefit family premium will be removed from 1st April • Will impact on in work low paid families • Single parent family will lose £11 per week • Two parent family will lose £14 per week Falkirk Council

  19. Poverty impact assessments • Carried out across the Council to assess impact of potential changes to services • Are internal checks to the council to ensure that the impact of our on vulnerable communities been understood • Demonstrate that the impact on our vulnerable communities has been is integral to the decision making process • Whenever a change is planned to working practice, programme, a policy or a budget. Falkirk Council

  20. What can we do? • Strategic Community Plan – priority workshop • Financial inclusion and capability initiatives aimed at children • EIS Report ‘Poverty Proofing’ • Referrals for hunger • Cost of school uniform • Cost of a school day • Awareness of poverty • Aspirations • Address stigma Falkirk Council

  21. Child Poverty Wider Children’s Commission 26 January 2016 Robert Naylor Falkirk Council

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