Anti-Poverty Strategy 2024 to 2027
What do we mean by poverty?
Given that there is no one definition of poverty, measuring poverty is not easy. A wide range of statistics and measures are used to capture poverty levels. A range of terms are used to describe poverty, for example, relative poverty, absolute poverty, destitution, low income, deprivation and disadvantage.
Our definition of poverty is based on what our residents have described as 'not having enough to live on, even for the basic essentials we need just to get by.'
The UK Government commonly uses two measures of low income to describe poverty. These low-income measures can be calculated before or after housing costs are taken into account.
Relative poverty
Household income of less than 60% of the current UK average. In 2021, households whose total earnings were less than £17,760 would have been classed as living in relative poverty.
Before housing costs
One in six people had an income below the poverty line.
After housing costs
One in five households in the UK had an income below the poverty line and 30% of children lived in households below the poverty line.
Absolute poverty
The Government's definition is those who earn less than 60% of the median income of 2010 to 2011. Therefore, in 2021 households living on less than £13,166 after housing costs would have been classed as living in absolute poverty. This definition is not the same as other organisations' definitions of absolute poverty. It is not an international poverty line, and it is not defined as being able to afford essentials.
In 2021 to 2022, 19% (7,298) of children were living in absolute low-income families in our Borough compared with 15.3% nationally.
Who is at risk of poverty?
Conversations held with our residents and discussions with partner organisations clearly suggest that we can all be at risk of poverty for example any one of us can suddenly have our lives turned upside down by illness or injury, loss of a job or break up of a family.
However, we do not all have the same chance of experiencing poverty, for some there is virtually no risk and for others it is very high. This is because all our residents do not have access to the same level of resources to help them avoid falling into poverty, to survive poverty or to escape a period of poverty without it leaving a long-lasting effect on their lives.