On Thursday 21 March, the annual Households Below Average Income (HBAI) report will be released by the Department for Work and Pensions. Estimates are provided for average incomes, income inequality, and for the number and percentage of people living in poverty. The statistics are the UK’s official source of poverty estimates and, with a larger sample size than other surveys, are the main source of data on household and individual incomes.
Our interviews show that claimants did not have the information they needed or wanted to understand how moving to UC would affect them. Such misinformation and misunderstanding are likely to be reasons some people are not moving to UC despite having a strong financial incentive to do so.
Two-thirds of people sent a migration notice between November 2022 and March 2023 made a successful UC claim before their migration deadline. A further 5 per cent made a claim after their deadline had passed. And 28 per cent did not claim UC at all and had their legacy benefit payments terminated. We are concerned that a sizeable minority of claimants are falling through the gaps.
There is only one part of the school day that is means-tested – lunchtime. We believe that all school children should be offered a balanced and filling school meal each day without cost. But a third of school-age children in England (900,000) living in poverty miss out on free school meals.
The DWP’s research during the discovery phase of managed migration to universal credit (UC) concluded that ‘on the whole households are able to make the move to UC.’ But we are finding that, when issues do arise, the consequences can be serious for claimants causing stress, budgeting difficulties and debt.
This briefing draws on our research with schools and families in London and makes suggestions for how schools can remove some of the barriers faced by secondary pupils in receipt of free shcool meals, and those in low-income families who do not currently qualify.
Researchers have found that going to school in the UK costs families of primary school children at least £864.87 a year, or £18.69 a week. This is before childcare costs are accounted for. For families of secondary school children, the cost of sending a child to school is at least £1,755.97 a year.
The cost of child poverty extends beyond the physical and emotional hardship felt by children growing up in low-income families. In 2008, the total financial cost was estimated to be at least £25 billion a year. In 2023, it has risen to over £39 billion a year.
Who is experiencing fuel poverty? What is the relationship between fuel poverty and income? And what is the impact of the mitigations put in place to support people with rising energy costs?