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1 in 7 children (550,000) with a parent working in the public sector will be living in poverty by the end of this financial year, according to new TUC analysis published today (Thursday).

The research shows that since 2010 an extra 150,000 children have been pushed below the breadline as a result of the government’s public sector pay restrictions and in-work benefit cuts.

The analysis shows:  

  • 1 in 7 children (550,000) living with a public sector worker in their family will be below the poverty line this April – an increase of 40% since 2010. 
  • Families where both parents work in the public sector are the biggest losers from the government’s pay restrictions and benefit changes. Their average household income will be down around £83 a week in real terms by April 2018.
  • Households where one parent works in the public sector and another works in the private sector will lose on average £53 a week.
  • The South West (+55%) has seen the biggest increase in child poverty rates among families with a public sector worker in England. Its followed by the North West (+51%) and East Midlands (+50%).

Separate TUC analysis shows that holding down public servants’ pay reduced spending power by £8.5bn in England alone last year.

TUC General Secretary Frances O’Grady said:

“The government's pay restrictions and in-work benefit cuts are causing needless hardship.

“Public servants shouldn’t have to worry about feeding or clothing their kids. But many are struggling to afford even the basics.

“Ministers must give public sector workers the pay rise they have earned. If they don't more families will fall into poverty.”

ENDS

Editors note

Number of UK children living in poverty with public sector parent

Household type

Number of children in poverty under 2010 system

Number of children in poverty by 2018 under government policies

Extra children in poverty by 2018 (000s)

Extra children in poverty by 2018 (%)

Public sector workers only

217,512

 

321,262

 

103,750

 

48%

Public and private sector workers

180,771

 

236,233

 

55,462

 

31%

TOTAL

398,283

 

557,495

 

159,212

 

40%

 

Increase in number of children living in poverty with public sector parent since 2010 (nation/region)

Region

Number of children in poverty under 2010 system

Number of children in poverty by 2018 under government policies

Extra children in poverty by 2018 (000s)

Extra children in poverty by 2018 (%)

North East

13,025

 

17,792

 

4,767

 

37%

North West

34,289

 

51,785

 

17,496

 

51%

East Midlands

27,845

 

41,884

 

14,039

 

50%

West Midlands

29,354

 

45,297

 

15,943

 

54%

East of England

38,362

 

49,712

 

11,350

 

30%

London

82,660

 

100,350

 

17,690

 

21%

South East

48,342

 

63,437

 

15,095

 

31%

South West

27,749

 

42,951

 

15,202

 

55%

Yorkshire

34,965

 

49,415

 

14,450

 

41%

England

336,591

 

462,623

 

126,032

 

37%

Scotland

26,654

 

42,582

 

15,928

 

60%

Wales

21,341

 

31,231

 

9,890

 

46%

Northern Ireland

13,697

 

21,059

 

7,362

 

53%

Weekly cash loss from public sector pay restrictions and benefit cuts

Household type

Weekly loss (£)

Public sector workers only

 

-£83.03

Public and private sector workers

-£53.26

– The public sector pay analysis is modelled on real wages falling by 13.3% between 2010 and 2018 for workers in health and education. And by 14.3% for workers in public administration.

– The analysis includes all tax and social security measures introduced under the 2010-15 coalition government and subsequent conservative governments, including Universal Credit.

– An individual is considered to be in relative poverty if their household income is less than 60% of median income.

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