Statistical press release - Households below average income, Northern Ireland, 2005-06

Over half of Northern Ireland’s population have incomes of less than £300 per week, after adjustment to take account of household structure.

This is one of the key findings in a report entitled “Households Below Average Income, Northern Ireland, 2005-06” covering the period April 2005 to March 2006.

The report presents information on potential living standards as determined by disposable income in 2005-06.

Its key findings include:

• Overall, Northern Ireland’s income distribution was skewed towards the lower end in 2005/06.
• There was a high concentration of individuals below the 60% of the UK median and 50% of the UK mean.
• Earned income was the main source of household income across all quintiles except the bottom quintile, where benefits / tax credits account for the largest proportion of gross income.
• Individuals living in families with one or more disabled children were more at risk of low-income than those in families with none.
• Individuals in workless families were much more likely to live in low income than those with one or more adults in full-time work.
• Families with children were more at risk of low incomes than those without children. Lone parent families were particularly at risk.
• Individuals living in Housing Association properties were more likely to be in low income than those who owned their homes.
• Individuals living in the west of the Province were most at risk of being in low income. Those living in the east of the Province were least at risk.
• Individuals living in Derry were most at risk of being in low income, of all the Local Government Districts (LGDs), whilst those living in Banbridge and Lisburn were least at risk after housing costs.
• Approximately one in five individuals living in low income families did not have a bank account; seven in 10 had no savings.
• In 2005/06, more than half of children in Northern Ireland lived in households with incomes in the bottom two quintiles of the income distribution.
• Children in households with two adults were less likely to be in the lowest income quintile than children in households with one adult.
• The greater the number of children in a family, the increased likelihood of low-income.
• Children living in families with at least one disabled adult were more likely to experience low-income than those living in households with no disabled adults.
• Children living in families where they could not afford to have at least two pairs of all weather shoes per adult in the household or household contents insurance were most likely to be in low-income.
• Children living in Dungannon were most at risk of low income.
• Working-age adults with children were more likely to have incomes at the bottom of the income distribution than those without children.
• Female working-age adults were slightly more likely than males to have low-incomes, with 42% having fallen into the bottom two quintiles of the distribution before housing costs.
• Working-age adults living in Housing Association accommodation were most at risk of low-income, followed by those in Northern Ireland Housing Executive (NIHE) or other accommodation. Adults in owner-occupied properties with a mortgage showed the least risk.
• Working age adults who indicated that they were unable to afford household contents insurance or two pairs of all weather shoes per adult in the household showed the highest risk of low income before housing costs.
• Working age adults living in Dungannon showed the highest risk of low income.
• Single pensioners were more at risk of low-income than pensioner couples.
• Pensioners living in NIHE or Housing Association properties were least at risk of low-income, compared to pensioners living in accommodation they owned outright who had the highest risk before housing costs.
• Pensioners living in Belfast showed a greater risk of poverty in 2005/06 compared to 2004/05.
• Three in five pensioners, below the UK mean and median incomes, were not in receipt of any benefits listed before housing costs.

NOTES TO EDITORS:

1. This is the fourth report providing information on Households Below Average Income in Northern Ireland (HBAI NI). This report provides information on potential living standards, as determined by disposable income in 2005/06. Data is sourced from the Family Resources Survey (FRS), a continuous cross-sectional survey across the United Kingdom. From April 2002, the Family Resources Survey was extended to include households in NI, making data available for HBAI analysis to be carried out here.
2. Although the FRS is specifically of interest to DSD, other government departments and outside researchers will benefit from the availability of such a data source. The database can be accessed through the Data Archive of the University of Essex.
3. The report is available on the DSD website at http://www.dsdni.gov.uk/publications-hbai_publication_2005_06.htm. Previous reports for Great Britain (1992 to date) are available on the DWP website at: http://www.dwp.gov.uk/iad/frs and for Northern Ireland at http://www.dsdni.gov.uk
4. Further enquires should be addressed to: Statistics & Research Branch, Level 4, James House, Gasworks Business Park, Belfast: Tel - 028 9081 9937;Fax - 028 9081 9961; E-Mail - srb@dsdni.gov.uk
5. Media enquires only to DSD Information Office on 028 9082 9497. Out of office hours please contact the Duty Press Office via pager number 07699 715 440 and your call will be returned.