United Kingdom
Lacking consumer durables
Key points
- A fifth of households in low income lack either a freezer or a washing machine. This compares with one in twenty of those on average incomes. It also compares with almost half of those in low income a decade ago.
- For all consumer durables, the proportion of low-income households who are lacking them is lower than a decade ago but still higher than for those on average incomes.
Graph 1: Over time
View Graph as PDF (resizeable) Right click to save large version of Graph as PNG
Graph 2: By durable
View Graph as PDF (resizeable) Right click to save large version of Graph as PNG
Why this indicator was originally chosen
This indicator examines how low income relates to a lack of essential consumer durables, and how this relationship is changing over time.
Definitions and data sources
The first graph shows, for each year, the proportion of people who lacked either freezers or washing machines, with the data shown separately for people in the poorest fifth of the population and for people on average incomes. These two items have been selected from a longer list of durables as they are both items which are considered to be necessities in contemporary society but for which a substantial proportion of households lacked them a decade ago.
The second graph shows, for the latest year, the proportion of people who lack selected consumer durables, with the data again shown separately for people in the poorest fifth of the population and for people on average incomes. For comparison purposes, the equivalent data for a decade ago is also shown for the poorest fifth of the population.
The durables shown in the second graph are PCs, VCRs, microwaves, washing machines, freezers and colour televisions. The reason that PCs, VCRs and microwaves are not shown in the first graph is that less than half of the population view them as necessities in contemporary society. The reason that colour televisions are not shown in the first graph is that, even a decade ago, only a small minority of households (less than 5%) lacked one.
The data source for both graphs is the British Household Panel Survey (BHPS). The data relates to the United Kingdom. Income is household income, not equivalised (adjusted) to account for differences in household size and composition.
Overall adequacy of the indicator: limited. Although BHPS is a smaller survey than FRS, the relatively smooth trends in the data over time indicate that the specific results shown are reliable. The choice of consumer durables in the analysis is, however, largely driven by the data availability and is both somewhat arbitrary and rather limited.
External links
See the Family Budget Unit site.
Relevant 2007 Public Service Agreements
Overall aim: Halve the number of children in poverty by 2010-11, on the way to eradicating child poverty by 2020.
Lead department
HM Treasury.
Official national targets
Reduce by a half the number of children living in relative low-income by 2010/11.
Other indicators of progress
Number of children in absolute low-income households.
Number of children in relative low-income households and in material deprivation.
Previous 2004 targets
Halve the number of children in relative low-income households between 1998/99 and 2010/11, on the way to eradicating child poverty by 2020, including:
- reducing the proportion of children in workless households by 5% between spring 2005 and spring 2008; and
- increasing the proportion of parents with care on Income Support and income-based Jobseeker's Allowance who receive maintenance for their children by 65% by March 2008.
Relevant government policies
- National minimum wage
- Tax credits and their predecessors
- Increases in child benefit
- Pension credit and its predecessors
- Second state pension
The numbers
Graph 1
| Income quintiles | ||
|---|---|---|
| Year | Poorest fifth | Middle fifth |
| 1993/94 | 50% | 14% |
| 1994/95 | 45% | 14% |
| 1995/96 | 46% | 13% |
| 1996/97 | no data | no data |
| 1997/98 | 39% | 11% |
| 1998/99 | 36% | 11% |
| 1999/00 | 35% | 11% |
| 2000/01 | 30% | 10% |
| 2001/02 | 29% | 9% |
| 2002/03 | 28% | 7% |
| 2003/04 | 25% | 6% |
| 2004/05 | 23% | 7% |
| 2005/06 | 20% | 6% |
Graph 2
| Item | Poorest fifth in 1995/96 | Poorest fifth in 2005/06 | Middle fifth in 2005/06 |
|---|---|---|---|
| PC | 93% | 70% | 29% |
| VCR | 59% | 20% | 4% |
| Microwave | 52% | 20% | 8% |
| Washing machine | 33% | 15% | 3% |
| Freezer | 30% | 12% | 4% |
| Colour television | 12% | 3% | 2% |