Third Report - Children in poverty: Measurement and targets
Select Committee
Work and Pensions Committee
HC 188
22 September 2021
Government response
Fifth Special Report - Children in poverty: Measurements and targets: Government Response to the Committee’s Third Report · published 6 Dec 2021
Recommendations & Conclusions
37 results
1
Conclusion
Acknowledged
Para 10
The Office for Statistics Regulation has recently made recommendations for improving income-based poverty statistics.
Conclusion
The Office for Statistics Regulation has recently made recommendations for improving income-based poverty statistics. DWP has said that it is considering its response to these recommendations, working with others in Government.
Government Response Summary
The Cross-Government Income and Earnings Coherence Steering Group will respond to OSR's recommendations, with a workplan published on 14 October, and will continue to liaise with OSR on its delivery.
Department for Work and Pensions
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2
Recommendation
Accepted in Part
We recommend that DWP publishes a detailed and full response to all the recommendations made...
Recommendation
We recommend that DWP publishes a detailed and full response to all the recommendations made by the Office for Statistics Regulation in its review of income- based poverty statistics by March 2022. (Paragraph 11) Defining child poverty, identifying its causes …
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Government Response Summary
The government states a Cross-Government Income and Earnings Coherence Steering Group, chaired by ONS, will respond to OSR's recommendations and has published the first version of its workplan on 14 October, though it doesn't explicitly confirm DWP published a detailed response by the March 2022 deadline.
Department for Work and Pensions
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3
Conclusion
Acknowledged
Para 28
Poverty is at least partly about a lack of material resources, and most people consider...
Conclusion
Poverty is at least partly about a lack of material resources, and most people consider income to be a core measure of poverty. But definitions of poverty cannot be entirely divorced from the society in which people live. A ‘poverty …
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Government Response Summary
The government states it will continue to publish all four statutory measures of children in low income and that analysts are reviewing the statistical validity of the absolute poverty low income line and the relevance of material deprivation goods and services.
Department for Work and Pensions
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4
Conclusion
Acknowledged
Para 29
We heard compelling evidence describing why a lack of material resources in childhood matters and...
Conclusion
We heard compelling evidence describing why a lack of material resources in childhood matters and the impact it has on child development and their future outcomes. But defining poverty in income terms does not mean that the Government’s response to …
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Government Response Summary
The government acknowledges that tackling child poverty is a cross-government priority, highlighting DWP's role alongside other departments and noting that ONS is leading the development of an interactive tool for income and earnings statistics.
Department for Work and Pensions
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5
Recommendation
Not Addressed
Para 30
DWP’s analysis of the drivers of child income poverty from 2014 concluded that a key...
Recommendation
DWP’s analysis of the drivers of child income poverty from 2014 concluded that a key factor was the quantity and quality of paid work in families. Since this analysis, the labour market has continued to evolve and more children in …
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Government Response Summary
The government stated that tackling child poverty is a cross-government priority and mentioned the ONS is leading the development of an interactive tool for income and earnings statistics, but did not commit DWP to revisit its own analysis as requested.
Department for Work and Pensions
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6
Recommendation
Deferred
We recommend that DWP should commission a systematic review of the latest evidence on child...
Recommendation
We recommend that DWP should commission a systematic review of the latest evidence on child income poverty, its definitions, its causes and its consequences. It should use this review to prompt a better dialogue with the public, charities and others, …
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Government Response Summary
The government stated that the Secretary of State's focus on material deprivation will inform its approach to poverty measurement. The commissioning of a systematic review of child income poverty, as recommended, is still under consideration.
Department for Work and Pensions
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7
Conclusion
Acknowledged
Para 40
Poverty measurement is important because it involves translating abstract concepts and definitions into very concrete...
Conclusion
Poverty measurement is important because it involves translating abstract concepts and definitions into very concrete expressions of who is poor and who needs extra help. Backed by a legal obligation to do so, the UK Government measures and reports Children …
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Government Response Summary
The government acknowledged the importance of poverty measurement, confirming it will continue to publish statutory measures, and that analysts are reviewing the statistical validity of poverty lines and material deprivation indicators.
Department for Work and Pensions
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8
Conclusion
Accepted
Para 41
Ministers have made clear to us that they consider absolute income poverty to be the...
Conclusion
Ministers have made clear to us that they consider absolute income poverty to be the most useful measure. They have been dismissive of the Government’s own measure of relative income poverty. But both measures have advantages and disadvantages. The Secretary …
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Government Response Summary
The government stated its commitment to a sustainable, long-term approach to tackling poverty, already reporting progress to Parliament annually through statutory measures and updates. It is also focusing on helping people into work through the £500 million expansion of the Plan for Jobs and cross-government action.
Department for Work and Pensions
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9
Recommendation
Accepted
Ministers should reaffirm their commitment to measuring poverty through all four measures of children in...
Recommendation
Ministers should reaffirm their commitment to measuring poverty through all four measures of children in low income as set out in the Welfare Reform and Work Act
Government Response Summary
The government reaffirms its commitment to measuring poverty by stating it will continue to publish all four statutory measures of children in low income, and analysts are reviewing the statistical validity of existing poverty lines and material deprivation indicators.
Department for Work and Pensions
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10
Conclusion
Not Addressed
Para 48
The Government legislated for the statutory monitoring of worklessness and educational attainment indicators in the...
Conclusion
The Government legislated for the statutory monitoring of worklessness and educational attainment indicators in the Welfare Reform and Work Act 2016. It reports performance against these indicators as part of a wider set of ‘Helping Workless Families’ indicators. The Government …
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Government Response Summary
The government response did not address the committee's conclusion regarding worklessness and educational attainment indicators not being a substitute for measuring poverty, instead providing boilerplate text about existing publications and monitoring.
Department for Work and Pensions
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11
Recommendation
Not Addressed
Para 49
We recommend that the Department for Work and Pensions broadens the scope of its ‘Helping...
Recommendation
We recommend that the Department for Work and Pensions broadens the scope of its ‘Helping workless families indicators’ to measure the quantity and quality of work in families and communities, and the quality of family support so that they better …
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Government Response Summary
The government's response focuses on ongoing research into data matching and analysis programmes for child income poverty and engagement with local authorities regarding Universal Credit data sharing, which does not address broadening the scope of 'Helping workless families indicators'.
Department for Work and Pensions
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12
Conclusion
Acknowledged
DWP’s key collections of income-related poverty and wider social deprivation statistics are all published separately.
Conclusion
DWP’s key collections of income-related poverty and wider social deprivation statistics are all published separately. The Office for National Statistics also publishes separate statistics on household income. There is no consolidated publication and no clear narrative setting out how the …
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Government Response Summary
The government acknowledges poverty is a cross-government priority and notes that ONS is leading the development of an interactive tool to explore income and earnings statistics, addressing the challenge of separately published data.
Department for Work and Pensions
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13
Recommendation
Deferred
Para 54
DWP should consolidate its statistical publications on income-related poverty and wider social deprivations to create...
Recommendation
DWP should consolidate its statistical publications on income-related poverty and wider social deprivations to create a single dashboard of indicators of child poverty which logically describe the evidence-based causes and consequences of child poverty. DWP should, in doing so, be …
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Government Response Summary
The government states tackling poverty is a cross-government priority and ONS is leading the development of an interactive tool for income and earnings statistics, rather than DWP consolidating its own publications into a single child poverty dashboard.
Department for Work and Pensions
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14
Conclusion
Deferred
Para 60
The Social Metrics Commission has proposed a new approach to measuring poverty which has widespread...
Conclusion
The Social Metrics Commission has proposed a new approach to measuring poverty which has widespread support. It was therefore welcome that the Government announced in 2019 that it would develop supplementary experimental statistics building on the Commission’s methodology. But that …
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Government Response Summary
The government responded that the work on developing supplementary experimental statistics for measuring poverty, which the Committee expressed concern about, is 'still under consideration.'
Department for Work and Pensions
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15
Recommendation
Not Addressed
Para 61
DWP should set out clearly, in response to this report, what work it now plans...
Recommendation
DWP should set out clearly, in response to this report, what work it now plans to do on the development of supplementary experimental statistics using the SMC’s methodology and a timescale for completing this work. It should also explain how …
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Government Response Summary
The government's response discusses general cross-government efforts and ONS development of an interactive tool, but does not set out DWP's plans for supplementary experimental statistics or explain how the Secretary of State's focus will inform poverty measurement.
Department for Work and Pensions
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16
Conclusion
Not Addressed
Para 65
The UK can learn from international approaches to poverty measurement, including from those countries and...
Conclusion
The UK can learn from international approaches to poverty measurement, including from those countries and organisations which have developed multidimensional measurement approaches that bring together measures of income poverty and wider social deprivations. Some multidimensional approaches blend measures of income …
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Government Response Summary
The government response provided a general statement about its commitment to tackling poverty, existing reporting mechanisms, and focus on work, but did not address the committee's specific observations regarding international measurement approaches or the dangers of a single poverty index.
Department for Work and Pensions
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17
Recommendation
Deferred
DWP should continue to liaise with other countries, universities, and international organisations in developing a...
Recommendation
DWP should continue to liaise with other countries, universities, and international organisations in developing a single dashboard for reporting income-related measures of poverty and the wider social deprivations on which the Government currently reports. (Paragraph 66) A strategy for child …
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Government Response Summary
The government states ONS is leading the development of an interactive tool for income and earnings statistics, and that the government liaises with various organisations and countries for evidence, rather than DWP leading the development of a single dashboard.
Department for Work and Pensions
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18
Recommendation
Accepted
We heard strong views that the UK now needs a cross-government strategy for child poverty.
Recommendation
We heard strong views that the UK now needs a cross-government strategy for child poverty. We welcome the creation of a new Inter-Ministerial Group to identify practical measures to address the cost of living. But a focus on the cost …
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Government Response Summary
The government reiterates its commitment to a long-term approach, statutory reporting, and existing programmes like the Plan for Jobs, but does not commit to a new comprehensive cross-departmental UK strategy for child poverty.
Department for Work and Pensions
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19
Recommendation
Accepted
Para 77
The Government should commit to developing and implementing a long-term, cross- departmental strategy to address...
Recommendation
The Government should commit to developing and implementing a long-term, cross- departmental strategy to address child poverty now and in the future. This should be informed by findings from the Inter-Ministerial Group on the cost of living and, more broadly, …
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Government Response Summary
The government states it is committed to a sustainable, long-term approach to tackling poverty, reports progress annually, and uses existing measures and programmes like the Plan for Jobs, but does not commit to developing a new, specific cross-departmental strategy.
Department for Work and Pensions
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20
Recommendation
Accepted
Para 83
Past income-based targets for child poverty have helped to focus minds across Government.
Recommendation
Past income-based targets for child poverty have helped to focus minds across Government. But, like all targets, they can ‘distort’ the policy response, and some witnesses believed that this happened in the final years of the 2010/11 child poverty target …
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Government Response Summary
The government claimed it is already committed to tackling poverty and reports progress to Parliament through existing statutory requirements and updates. It did not commit to a new broad set of targets or a new clear strategy with measurable objectives, instead emphasizing its focus on work and existing initiatives like the Plan for Jobs.
Department for Work and Pensions
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21
Recommendation
Accepted
As part of a new cross-departmental strategy, the Government should set clear, ambitious and measurable...
Recommendation
As part of a new cross-departmental strategy, the Government should set clear, ambitious and measurable objectives and plans for reducing child poverty. The Government should report to Parliament annually on progress in implementing its child poverty objectives and plans. (Paragraph …
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Government Response Summary
The government claimed it already reports progress to Parliament annually on child poverty via existing statutory responsibilities and updates. It did not commit to a new cross-departmental strategy with clear, ambitious, and measurable objectives, instead highlighting its focus on employment initiatives.
Department for Work and Pensions
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22
Recommendation
Not Addressed
Para 89
The pandemic has brought into sharp relief the delay in publishing poverty data through DWP’s...
Recommendation
The pandemic has brought into sharp relief the delay in publishing poverty data through DWP’s ‘Households Below Average Income’ statistics. DWP and HMRC have a wealth of administrative data on benefits, tax and earnings. DWP can make better use of …
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Government Response Summary
The government provides a general statement about cross-government poverty efforts and mentions the ONS is developing an interactive tool, but does not commit DWP to using its administrative data to produce 'closer to real-time' child poverty information.
Department for Work and Pensions
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23
Recommendation
Not Addressed
Para 90
Working with HMRC and other UK producers of income statistics, DWP should develop a dashboard...
Recommendation
Working with HMRC and other UK producers of income statistics, DWP should develop a dashboard of child income-related poverty ‘lead’ indicators which are closer to real time and supplement existing survey data sources. DWP should publish this data as part …
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Government Response Summary
The government noted that tackling child poverty is a cross-government priority and mentioned the ONS is developing an interactive tool for income and earnings statistics, but did not commit DWP to develop or publish a specific dashboard of child income-related poverty indicators.
Department for Work and Pensions
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24
Conclusion
Accepted
Para 96
The 12-month delay in producing income poverty statistics means that DWP data on the proportion...
Conclusion
The 12-month delay in producing income poverty statistics means that DWP data on the proportion of children in low income for the year to March 2021 will not be published until March 2022. We were encouraged to hear that DWP …
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Government Response Summary
The government states it remains committed to publishing the annual HBAI publication in March 2022 and continues to monitor and collect evidence, with DHSC coordinating Shared Outcomes Fund project publication decisions, but does not commit to new research on the pandemic's impact.
Department for Work and Pensions
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25
Recommendation
Not Addressed
Para 97
DWP should commission research examining, in depth, the impacts of the pandemic on children living...
Recommendation
DWP should commission research examining, in depth, the impacts of the pandemic on children living in families in low income. It should publish the results of this 54 Children in poverty: Measurement and targets analysis alongside its March 2022 Households …
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Government Response Summary
The government did not commit to commissioning new research examining the pandemic's impacts on low-income children or publishing its results. It noted DHSC is leading the longer-term project and will coordinate publication decisions, effectively redirecting part of the recommendation.
Department for Work and Pensions
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26
Conclusion
Deferred
Para 102
DWP has valuable administrative data that can be used to improve understanding of child poverty...
Conclusion
DWP has valuable administrative data that can be used to improve understanding of child poverty and support a better response to it. To make the best use of this resource, DWP will need to collaborate with others in Government, local …
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Government Response Summary
The government intends to conduct more detailed research into the possibility of making improvements to existing data shares and investigating local authority reasons for additional data, acknowledging concerns about DWP's data sharing approach.
Department for Work and Pensions
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27
Recommendation
Deferred
Para 103
DWP should liaise with other government departments to identify lessons for how it might take...
Recommendation
DWP should liaise with other government departments to identify lessons for how it might take a more constructive approach to sharing data related to child poverty. DWP should write to us by June 2022 updating us on its progress (a) …
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Government Response Summary
The government intends to conduct more detailed research into the possibility of improving existing data shares, including investigating local authority concerns, rather than committing to specific actions or timelines outlined by the committee.
Department for Work and Pensions
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28
Conclusion
Acknowledged
Para 106
DWP and the Office for National Statistics both have survey and statistical research projects on...
Conclusion
DWP and the Office for National Statistics both have survey and statistical research projects on income. There is a risk that these overlap, reducing the quality of the overall data collected and contributing to reduced clarity in Government reporting of …
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Government Response Summary
The government states it continually considers ways to improve statistical publications and will continue to liaise with OSR on its ongoing income and earnings coherence work, but does not specifically commit to addressing the identified risk of overlap between DWP and ONS projects.
Department for Work and Pensions
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29
Recommendation
Acknowledged
Para 107
DWP should work with other UK producers of income statistics to co-ordinate the current suite...
Recommendation
DWP should work with other UK producers of income statistics to co-ordinate the current suite of survey and data analysis to strengthen the breadth and depth of work and improve reporting clarity. DWP should write to us by March 2022 …
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Government Response Summary
The government acknowledged the importance of improving statistical publications and referred to ongoing work like the GSS income and Earnings Coherence work plan and a cross-government steering group, but did not commit DWP to specific additional steps to integrate surveys or to writing to the Committee by March 2022.
Department for Work and Pensions
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30
Conclusion
Not Addressed
Para 113
Gaps in data on inescapable costs that households face, including those associated with disability and...
Conclusion
Gaps in data on inescapable costs that households face, including those associated with disability and debt, reduce the accuracy of data about who is in poverty. The Social Metrics Commission has shown leadership in highlighting these matters but is reliant …
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Government Response Summary
The government response outlined existing data collected by the Family Resources Survey and plans to introduce new questions on debt repayments, but did not directly address the committee's conclusion about the impact of data gaps on poverty measurement accuracy or the need for significant DWP commitment.
Department for Work and Pensions
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31
Recommendation
Accepted
Para 114
To improve its measurement of income-related poverty, DWP should work with others, including the Office...
Recommendation
To improve its measurement of income-related poverty, DWP should work with others, including the Office for National Statistics, relevant academics, and children’s charities to identify a list of inescapable household costs and define options for how data on these might …
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Government Response Summary
The government outlined the various costs the Family Resources Survey already collects and plans to introduce new questions on debt repayments. However, it did not commit to the broader collaborative work to identify all inescapable household costs or report back on these by June 2022.
Department for Work and Pensions
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32
Conclusion
Acknowledged
Para 116
Gaps in the analysis of income poverty for different ethnic groups caused by small survey...
Conclusion
Gaps in the analysis of income poverty for different ethnic groups caused by small survey samples reduces our understanding of poverty and solutions to it. We Children in poverty: Measurement and targets 55 therefore welcome DWP’s recent decision to increase …
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Government Response Summary
The government confirms the full Family Resources Survey (FRS) boost begins in April 2022 but states that the precise subgroups covered will depend on data analysis, response rates, and final sample sizes, making it impossible to provide a list by June 2022.
Department for Work and Pensions
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33
Recommendation
Deferred
Para 117
DWP should write to us by June 2022 setting out precisely what additional subgroup analysis,...
Recommendation
DWP should write to us by June 2022 setting out precisely what additional subgroup analysis, including analysis of ethnic minority households, it expects to be able to conduct as a result of the increase in the sample size for its …
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Government Response Summary
The government deferred the request, stating it is not possible to provide a precise list of subgroups for analysis by June 2022 as it depends on data collected, response rates, and final sample sizes from the FRS boost starting April 2022.
Department for Work and Pensions
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34
Recommendation
Deferred
Para 121
Income poverty data on children whose parents have no recourse to public funds is limited.
Recommendation
Income poverty data on children whose parents have no recourse to public funds is limited. DWP’s Family Resources Survey picks up very small numbers of these children and the Department does not collect significant administrative data on them because their …
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Government Response Summary
The government redirects responsibility for research and analysis on children of families with no recourse to public funds, stating that the Home Office has the policy lead on this issue.
Department for Work and Pensions
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35
Recommendation
Deferred
Para 122
We recommend that DWP works with the Office for National Statistics to produce robust income-related...
Recommendation
We recommend that DWP works with the Office for National Statistics to produce robust income-related poverty and income data on children and their families with no recourse to public funds. DWP should write to us by June 2022 to give …
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Government Response Summary
The government redirected the recommendation, stating that the Home Office has the policy lead on No Recourse to Public Funds, rather than committing DWP to produce the requested data.
Department for Work and Pensions
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36
Conclusion
Rejected
Para 125
Local level data on child income poverty is important to enable national and local governments...
Conclusion
Local level data on child income poverty is important to enable national and local governments to plan their services. DWP’s recent work with HMRC to produce local area estimates of children in low income families is welcome, but its usefulness …
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Government Response Summary
The government rejected the implied need to include housing costs in child income poverty estimates, stating there is no single administrative data source and DWP has no immediate plans to undertake the significant development work required.
Department for Work and Pensions
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37
Recommendation
Rejected
We recommend that DWP works with external academics, local authorities and other government departments to...
Recommendation
We recommend that DWP works with external academics, local authorities and other government departments to identify options for reflecting the cost of housing in its local area estimates of children in low income families. DWP should write to us by …
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Government Response Summary
The government rejected the recommendation, stating there are no immediate plans to take this forward due to the lack of a single data source for housing costs and other statistical development priorities.
Department for Work and Pensions
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