Scottish Poverty Statistics Summary Briefing, December 2014
Scottish Government: Communities Analytical Services
About this briefing
This summary briefing gives headline details of poverty statistics in Scotland. Rates set out are before
housing costs (BHC), unless otherwise stated. Relative poverty is where someone lives in a household
that receives less than 60 per cent of the UK average (median disposable) income in the most recent year.
In 2012/13, the most recent year’s data, the relative poverty threshold for a couple with no children was an
income of £264 per week, which was unchanged from the previous year. Absolute poverty is where
someone lives in a household that receives less than 60 per cent of the UK average (median disposable)
income in 2010/11, adjusted by inflation: it is a measure of whether the incomes of lower income
households are keeping pace with rising prices. In 2012/13, the absolute poverty threshold for a couple
with no children was an income of £272 per week.
Relative poverty was higher in Scotland than in the UK in 2012/13
children was an income of £272 per week
In 2012/13, Scotland had a higher relative poverty rate (16%) than the
UK (15%). This reversed the position since 2006/07, which had seen
a lower rate of poverty in Scotland than in the UK.
1. Relative Poverty in Scotland
Relative Poverty rates in Scotland increased in 2012/13
In Scotland in 2012/13, 820,000 individuals were living in relative
poverty. This reverses the reduction seen in recent years, with
110,000 more people in Scotland living in relative poverty compared
with the previous year. After housing costs, one million individuals
were living in relative poverty in 2012/13. See Chart 1.
The increase in relative poverty (BHC) was due to a continued fall in
incomes. In 2012/13, incomes in Scotland fell across all but the top
two income deciles, with the largest decreases for those on the lowest
household income (bottom 2 income deciles).
In 2012/13, low wage growth (particularly for those in less skilled
employment), changes in the labour market, and tightening of
eligibility and conditionality under welfare reform have resulted in
lower median income.
2. Absolute Poverty in Scotland
Absolute Poverty also increased in 2012/13
In 2012/13, the rate of absolute poverty (BHC) increased to 17 per
cent or 880,000 people, an increase of 100,000 over the previous
year. See Chart 2.
Child Poverty increased in 2012/13
Between 2011/12 and 2012/13, child poverty rates increased by 4
percentage points to 19%, reversing the decreases seen in recent
years. See Chart 3.
In 2012/13, 180,000 children in Scotland were living in relative
poverty, 30,000 more than the previous year. Between 2006/07 and
2011/12, 60,000 children had been lifted out of poverty. However the
increase in child poverty in 2012/13 has meant 30,000 more children
were living in poverty.
After housing costs, 220,000 children were living in poverty in
2012/13.
The number of children living in combined low income and material
deprivation in 2012/13 was 11%, an increase from 9% in 2011/12.
This represents an additional 20,000 children, bringing the number of
children living in low income and material deprivation to 110,000 in
2012/13.
3. Child poverty in Scotland
Scottish Poverty Statistics Summary Briefing, December 2014
Scottish Government: Communities Analytical Services
Household incomes for working age families with children fell by more
than for those without children in 2012/13, with the largest decreases in
income for families with children in employment. For households in
employment, reduced eligibility to tax credits has contributed to a fall in
household incomes for those with lower earnings who were not able to
increase the hours worked. At April 2013 there were 91,000 fewer
families with children in employment in receipt of tax credits compared
with April 2012. Low wage growth, particularly for those in less skilled
employment, uneven jobs growth, and changes in the labour market have
all contributed to the fall in household income for families with children.
4. In work poverty in Scotland
Work is not necessarily enough to lift households out of poverty
Employment alone is not enough to lift some households out of poverty.
See Chart 4. In 2012/13:
5. Working-Age Adult poverty in Scotland
 Nearly half (45%) of all people in poverty are in households where at
least one person is working.
 Over half (52%) of working age adults in poverty are in working
households.
 Six in ten (59%) of children in poverty live in working households.
The increase in in-work poverty in the latest year continues the slow
increasing trend in in-work poverty seen in Scotland.
Working-Age Adult Poverty rates increased in 2012/13
In 2012/13, 480,000 working-age adults were in poverty, 70,000 more
than the previous year. The increase in 2012/13 reverses the decreases
in working age poverty in Scotland since 2009/10. Having been lower
than the UK rate since 2009/10, working age poverty in Scotland has
increased up to the rate seen across the UK. See Chart 5
6. Pensioner Poverty in Scotland
Pensioner Poverty increased in 2012/13
Pensioner poverty increased in Scotland by 1 percentage point in
2012/13. Pensioner poverty in Scotland had been decreasing since
2007/08, due to higher upratings in pensioner benefits compared to
earnings. In 2012/13, the basic state pension was uprated by 5.2% under
the triple lock, the same rate as other benefits and tax credits. After
housing costs are deducted, pensioner poverty in 2012/13 fell by 1
percentage point, compared with the previous year, to 11%. See Chart 6.
15% of pensioners in Scotland are in poverty, compared with 16% for the
UK. However, of the 150,000 pensioners aged 65 and older in poverty in
Scotland, 8% were in material deprivation in 2012/13 (unchanged from
the previous year).
Other recent publications:
The Institute for Fiscal Studies has published analysis which suggests
that by 2020, once all the UK Government welfare changes have come
into effect, there will be around 150,000 more working age adults in
poverty and 50,000 more children living in poverty in Scotland than in
2011. After housing costs, this increases to 100,000 more children living
in poverty by 2020.
The End Child Poverty campaign publishes a map of local child poverty
across the UK (most recently in August 2014). These are estimates and
differ from National Statistics on poverty rates but allow for comparisons
between local areas. These estimates show the areas with the highest
levels of poverty (after housing costs) are Glasgow, Dundee and North
Ayrshire. In eighteen of the thirty two local authorities in Scotland, at least
one in five children live in poverty.
Equality Groups:
 20% of households with a disabled adult
were in poverty in 2012/13, compared with
14% of households where no adults have
disabilities. Although the rate has
decreased (from 26% in 2002/03) the
extent of the gap has remained similar.
 15% of men and women were in poverty in
2012/13. In 2002/03, the poverty rate was
higher for women than for men (20 per cent
compared to 17 per cent). This gap is no
longer apparent and since 2011/12, the
poverty rate for men and women has been
the same.
 People from minority ethnic (non-white)
groups are more likely to be in relative
poverty (before housing costs) compared
to those from the 'White - British' group (25
per cent and 14 per cent respectively).
These figures are based on aggregated
data from 20010/11 to 2012/13 inclusive.