Relative and Absolute Poverty Child Poverty Wages and Household Income
Fuel Poverty Index of Deprivation

 

This page looks at the Households Below Average Income dataset produced by the Department for Work and Pensions (HBAI/DWP)  dataset produced at a national level and regional level.  Estimates for County Durham are based on the North East assumptions applied to County Durham’s resident population.

The Households Below Average Income (HBAI) dataset provides information on living standards in the UK based on household income measures for each financial year.

National

  • Households Below Average Income (HBAI/DWP)
    • Relative and Absolute Poverty

Note: We have also estimated the number of people in County Durham in poverty by using the HBAI assumptions for the North East and applying them to the relevant resident population of County Durham.

Relative Poverty

By looking at the ‘proportion of residents living in households with less than 60 per cent of contemporary median household income’ measure, an estimate of relative poverty can be made.

Key messages:

  • Since 2014/15 the estimated proportion of UK residents living in relative poverty, before housing costs (BHC) are deducted, increased from 16% to 17% affecting around 11 million people.
  • After housing costs (AHC) are deducted the figures show that the proportion increased from 21% to 22% of UK residents affecting around 14.3 million people.  The following table summarises these UK figures.
UK 2017/18 2016/17 2015/16 2014/15 1 year change 4 year change
Estimated number of Residents (m) 64.9 64.4 64 63.5 0.50 1.40
Residents in Relative Poverty BHC (m) 11.0 10.3 10.2 10.2 0.73 0.87
Residents in Relative Poverty BHC % 17.0% 16.0% 16.0% 16.0%
Residents in Relative Poverty AHC(m) 14.3 14.2 13.4 13.3 0.11 0.94
Residents in Relative Poverty AHC % 22.0% 22.0% 21.0% 21.0%
Source: DWP, Households below average income (HBAI)
BHC: Before Housing Costs
AHC: After Housing Costs

 

Data for the North East is also available from this dataset.  By applying these North East assumptions to the County Durham resident population estimates it is possible to estimate the scale of relative poverty across the county.  Note: This assumes that the North East average applies evenly across the twelve local authorities in the region and so the following estimates should be be used with care.

Key messages:

  • Since 2014/15 the estimated number of County Durham’s residents living in relative poverty, before housing costs (BHC) are deducted, increased from 93,200 to 99,500 people.
  • After housing costs (AHC) are deducted the figures show that the estimated number increased from 113,900 to 125,700 people in County Durham.
County Durham 2017/18 2016/17 2015/16 2014/15 1 year change 4 year change
Estimated number of Residents (m) 523,662 522,143 519,695 517,773 1,519 5,889
Residents in Relative Poverty BHC (m) 99,496 99,207 93,545 93,199 289 6,297
Residents in Relative Poverty BHC % 19.0% 19.0% 18.0% 18.0%
Residents in Relative Poverty AHC(m) 125,679 120,093 114,333 113,910 5,586 11,769
Residents in Relative Poverty AHC % 24.0% 23.0% 22.0% 22.0%
Source: DWP, Households below average income (HBAI)
BHC: Before Housing Costs
AHC: After Housing Costs

 

Absolute Poverty

By looking at the ‘proportion of residents living in households with less than 60 per cent of 2010/11 median household income held constant in real terms’ measure, an estimate of absolute poverty can be made.

Key messages:

  1. Since 2014/15 the estimated proportion of UK residents living in absolute poverty, before housing costs (BHC) are deducted, decreased from 15% to 14% affecting around 9.1 million people.
  2. After housing costs (AHC) are deducted the figures show that the proportion remained the same at around 20% of UK residents affecting around 13 million people.  The following table summarises these UK figures.
UK 2017/18 2016/17 2015/16 2014/15 1 year change 4 year change
Estimated number of Residents (m) 64.9 64.4 64 63.5 0.50 1.40
Residents in Absolute Poverty BHC (m) 9.1 9.0 9.6 9.5 0.07 -0.44
Residents in Absolute Poverty BHC % 14.0% 14.0% 15.0% 15.0%
Residents in Absolute Poverty AHC(m) 13.0 12.9 12.8 12.7 0.10 0.28
Residents in Absolute Poverty AHC % 20.0% 20.0% 20.0% 20.0%
Source: DWP, Households below average income (HBAI)
BHC: Before Housing Costs
AHC: After Housing Costs

 

Data for the North East is also available from this dataset.  By applying these North East assumptions to the County Durham resident population estimates it is possible to estimate the scale of absolute poverty across the county.  Note: This assumes that the North East average applies evenly across the twelve local authorities in the region and so the following estimates should be be used with care.

Key messages:

  • Since 2014/15 the estimated number of County Durham’s residents living in absolute poverty, before housing costs (BHC) are deducted, decreased from 16,800 to 15.900 people.
  • After housing costs (AHC) are deducted the figures show that the estimated number increased slightly from 20,500 to 20,900 people in County Durham.
County Durham 2017/18 2016/17 2015/16 2014/15 1 year change 4 year change
Estimated number of Residents (m) 99,496 99,207 93,545 93,199 289 6,297
Residents in Absolute Poverty BHC (m) 15,919 16,865 15,903 16,776 -946 -857
Residents in Absolute Poverty BHC % 16.0% 17.0% 17.0% 18.0%
Residents in Absolute Poverty AHC(m) 20,894 21,826 20,580 20,504 -931 390
Residents in Absolute Poverty AHC % 21.0% 22.0% 22.0% 22.0%
Source: DWP, Households below average income (HBAI)
BHC: Before Housing Costs
AHC: After Housing Costs