Measuring income and poverty in Scotland

Tom Spencer

Why?

• Income data cited in the Housing Need & Demand Assessments Guidance (2008)

• Planning Authorities need to use income data as part of the evidence included in their HNDAs

• Need for more advice raised at CHMA stats training events

Income data sources

• Scotland level data

• Small area data

• Local authority level data

• The future

Scotland level - Family Resources Survey – child poverty

Small area data (1) – Scottish Index of Multiple Deprivation Income domain

• Proportion of income deprived individuals in an area

• Income deprived = receipt of IS/JSA/PC

• Based on DWP data• Definition of ID

changes between SIMDs

Small area data (2) – HM Revenue and Customs Child and Working Tax Credit data

• Used to produce ‘Children in low income households’ for SOAs

• Can be used to track progress over time (subject to changes to tax credit system)

• Only people in work or with children

Small area data (3) – Commercial datasets

• SG analysts generally use official (government) data sources

• Methodology is commercially sensitive so difficult to assess robustness – and we haven’t

• Users should satisfy themselves that they are suitable for particular purpose

• SG advice would be to use a variety of sources at local level

LA data (1) – Scottish Household Survey

• SHS collects income data

• LA level published bi-annually

• Some definitional differences between SHS and main poverty estimates (esp. random adults)

LA data (2) – HM Revenue and Customs tax credits

Future developments – Better LA level income data

• Linking FRS and SHS income estimates

• Hope to produce robust LA level income and poverty estimates

Further information

• See ‘Data sources and suitability’ http://www.scotland.gov.uk/Topics/Statistics/Browse/Social-Welfare/IncomePoverty

• Tom Spencer tel: 0131 244 0794

• Any questions?