Official Report 221KB pdf
We will now consider child poverty in Scotland. We welcome Keith Hayton of Hayton Consulting. Without further ado, I invite him to make introductory remarks before we move to questions from the committee.
Thank you, convener. I was asked to do some work to complement the other evidence that the committee has heard. You have heard from a lot of people from organisations and agencies that are involved with child poverty and its solutions. I was asked to go out and speak to parents and carers living in poverty to get their input about their experiences and perceptions of the impact of poverty on children. I did that in two main ways.
That is fine. We now move to questions.
Good morning, Mr Hayton. I read your report with great interest. You refer to kinship carers in your conclusions on page 54. What are the main findings of the research in relation to kinship carers and the kinship carers allowance?
The problem, if there is one, is that at the time that the research was done, there was considerable uncertainty about the kinship carers allowance. People were unclear about the impact that the allowance would have on their benefits and about the eligibility criteria. There was a lot of noise about that. What they wanted, however—this came up time and again in the focus groups—was parity with foster carers. That was the theme to which almost every second contribution in the focus groups returned.
Do you think that any of the actions that the Government is taking at the moment will help with that? Do we need changes in benefits legislation to make it easier for kinship carers to achieve that parity with foster parents?
It would be presumptuous of me to comment on that, as I am not an expert on kinship care. I am aware that consultation on the subject has come to an end, or is about to come to an end. As I understand it, and as I have highlighted in my report, although those caring for looked-after children would be eligible for the kinship carers allowance, a certain proportion of the people who attended the focus groups—I cannot give you a figure—would not be eligible, as they were looking after children without having gone through the children's hearings system or having made any legal arrangements. That group, who, to all intents and purposes, are exactly the same as people who are looking after children and who have gone through some sort of legal process, will not be helped.
In previous meetings, a number of people have told us about the potential to lever extra income for families living in poverty into the local economy through the promotion of the whole agenda of benefits checks and so on. I was interested to note that you do not seem to consider that to be a significant factor, at least not to a great extent.
There are two issues. First, research was carried out to bring together people who were already working through or in contact with organisations such as Action for Children and the sure start projects. It was evident that the groups had very good networks, one of the consequences of which was that people became aware of what they might be eligible for. There was very little if any evidence that people were not receiving the benefits to which they were entitled. I stress that I did not do benefit checks or anything like that.
Turning to the system itself and the failings in it that you have identified, I note that, in paragraph 2.15 of your report, you state:
I do not think that there is an easy answer. That participant was in a rural area where apparently very few jobs were available, and those that were available tended to be seasonal and did not pay anywhere near that level. Such people will simply continue on benefits, unless there is a dramatic change in the labour market or in benefit levels. The person was on benefits at the time.
What is the scope for Jobcentre Plus to give advice in such situations? At paragraph 2.40, you say:
We need to make people aware of all the options—not just the financial options. The report includes a quote from someone who was advised not to go to college because, if she did, she would be worse off financially. Looking back five years later, she was upset about the decision that she had made on the basis of that advice. She thought that the long-term benefit of going to college would have been worth the short-term financial penalty. People should get advice in the round, not just advice about whether a decision will make them worse or better off financially. When advising people on how to move forward, we should look at their skills, qualifications and, possibly, health. There was a feeling that often organisations such as Jobcentre Plus are not proactive about stepping slightly outside their remit to advise people on a wider range of issues. A number of people with health problems thought that it would have been useful for them to have been given advice on what jobs might be open to them. Such advice was not often forthcoming from the official agencies.
Good morning, Mr Hayton. I have two specific questions about kinship carers. Clearly, it would make a difference if kinship carers received payments equivalent to those received by foster carers. In your view, would that mean that the children concerned were no longer in poverty?
No. The issue of foster care payments dominated and drove the whole discussion. Often people took the view that, if they were to receive the payments that foster carers get, life would be wine and roses. I am not convinced that that would be the case. It might make some difference if kinship carers were suddenly to receive equivalent payments, but not the dramatic difference that many carers seem to think that it would make.
Such payments would provide a boost to those who do not receive anything at the moment. I was trying to establish whether you think that the allowance that foster carers receive ensures that the children for whom they care are not living in poverty.
In all fairness, I can only answer that I do not know. I could speculate, but I did not cover foster carers specifically in my work.
That is fine.
I was provided with it.
By whom?
By someone from You Are Not Alone Family Support Services. However, the figure needs to be qualified. Prior to the completion of the report, my contact e-mailed me to say that the money was provided for foster carers and kinship carers; originally, she had told me that it was for kinship carers. That qualification will be added before the report is finalised. However, my contact was pretty definite about the figure—if she had not been, I would not have included it.
I was hoping that you had found an easy way of identifying where the figures lay within the accounts of councils and the Scottish Government. Clearly, the concordat makes it difficult to see what there is lower down the levels of spending. I thought that you had hit on something, but I suspect that things are not as precise as they might be.
I spoke to someone, and I believed what they told me.
I might be able to shed a little light on those figures. I do not have the numbers, but I know that there are two separate budget figures that relate to kinship carers. One involves allowances and one involves discretionary payments, carer capacity building and so on. There are two budget lines and, sometimes, one gets confused with another and is used wrongly. It is true that we need to get more certainty over the figures.
Again, the answer is no. I am sorry to have to say that, but I really did not go out to do basic research into the number of kinship carers. However, as I am sure you are aware, various organisations come up with estimates. The ones that I have seen tend to fluctuate quite significantly.
I would like to ask a couple of questions that you might not have the answers to, but which raise important points.
There was considerable misunderstanding in the focus groups, largely because, at that time, things were not finalised. One focus group that I spoke to had recently attended a seminar organised by Dumfries and Galloway Council, but I got the impression that that seminar had not given them a lot of answers. There was considerable confusion not only about who paid the money and who they should approach but about the whole area of eligibility and the impact on other benefits.
Were those kinship carers aware of the new permanence orders, which will replace residence orders? That new category enables the child to qualify as a looked-after child.
No, they were not. That focus group meeting took place around November, which might pre-date any announcement that you are talking about.
People seem to lack information about the matter. The Scottish Government and local authorities will have to provide certainty to kinship carers.
People's uncertainty came through very strongly in the focus groups.
How many people in that focus group saw themselves as kinship carers?
They were all kinship carers. That particular group was organised through a group that is, essentially, a support body for kinship carers.
The report has a heavy emphasis on kinship care. Could it be argued that it is skewed towards kinship care issues because of that focus group?
I would argue that the report is not skewed in that way. One specific chapter deals with kinship carers, who were separated out because, as I said earlier, their profile tended to be very different from that of the other people to whom we spoke—whether interviewees or focus group members. Kinship carers tended to be far older, and I felt that it was worth while to highlight that.
Earlier, in response to a question from Alasdair Allan, you said that someone would need to get a job paying in excess of £18,000 a year to compensate for the benefits that they would lose by working. Other organisations that have given evidence to us have clearly identified the issue of in-work poverty, and have raised concerns about the current national minimum wage level. What do you think a reasonable wage level should be? Is the current national minimum wage reasonable?
That is a difficult question to give a yes or no answer to, because of working tax credits. The report points out that people are able to take relatively low-paid work because tax credits enable them to secure what they perceive to be a living wage. The danger is that an increase in the minimum wage would result in a decrease in tax credits, which might mean that people were not necessarily all that much better off in material terms.
One of the respondents indicated that they would have liked to have gone into further or higher education, but were told by Jobcentre Plus that it would be inadvisable for them to do so at that point because of the potential loss of benefits to that household. You talked about agencies such as Jobcentre Plus stepping outwith their remit to advise individuals, but I understand that Jobcentre Plus is not permitted to go outwith its fairly tight remit.
As I said earlier, advice must be given in the round. I accept that some agencies do not want to go beyond their remit, but if people are told only that, if they do a certain thing, they will lose money, there is a danger that they will not do that thing, which might mean that there is no progression.
There is an obvious response to that: if somebody is told that they will lose benefits or income by following a career path that they wish to take, society and various agencies could be driving them further into poverty in the short term in the hope that there may be financial gains for the household in the long term. People are presented with the choice of driving themselves further into poverty to take up an opportunity or continuing to put food on the table for their children. That is an issue.
Quite a number of the people who were interviewed or attended focus groups lived in flats. We are not necessarily talking about high-rise blocks—although that tended to be an issue in Glasgow—because a number of people lived in low-rise blocks. They related quite a number of stories about the problems of getting two children and buggies down the stairs and out of the doors in low-rise flats, which might not have lifts in them. The people from high-rise flats said that they had nowhere to let their children out to play. If the children went out to ground level, the parents could look out the window but, if something happened, it would be too late by the time they got there.
What you describe did not extend to instilling the work ethic, did it? People did not say that they thought it was worth while for them to take a short-term hit for the wider benefit of their family. They did not talk about promoting the dignity of work to their children. I found it very depressing to read that. It confirmed all that I know about the benefits trap, with people talking about someone else having to find them a house or sort the schooling for their kids. What you said in your report about the disempowerment of people who know the situation in which they find themselves made depressing reading. Is that negative outlook underlined by the benefits system, which focuses so tightly on short-term income provision, and the agencies that work with and campaign on behalf of the poor?
From the evidence that I collected, the answer in some instances is yes. However, other organisations try to encourage their client group to be outward looking. For example, we held a focus group in Glasgow with Rosemount Lifelong Learning, which is a dynamic organisation that tries to encourage people and bring them on. Instead of simply saying to people, "This is where you are, and this is where you are going to stay," it tries to take people somewhere. There are other examples, including the sure start project in Dundee with which I ran a focus group. It, too, tries to encourage the people with whom it works.
There has always been a debate out there in the newspapers and elsewhere about whether parents, particularly mothers, should work. What statements did you hear that confirm that the children are better off with their mothers? I do not mean where child care is not available or is not flexible enough to fit with a job's hours: I have in mind people who make a conscious choice to opt out of work and who say that, for family reasons, their children have to be with them.
Some participants challenged the notion that getting what they perceived to be a relatively low-paid unskilled job—with all the issues around identifying child care and getting their children into it—would be better than being a mother to their children. They did not say that they would look after their children until they were 16, or anything like that, but some certainly felt strongly that looking after their children when they were young was potentially the best use of their time. By no means all the participants felt that, but some of the more articulate ones felt that there are more and more drivers to getting them to work in what they perceive to be low-paid, low-skill jobs with conditions and hours that might make it difficult for them to manage child care. They therefore challenge the notion that doing such work is somehow morally better than looking after their children.
Did that just confirm to you the negative choice between settling for less or having the certainty of benefits, which people know has damaged them and is likely to damage their children and their future prospects? Do people not just feel disempowered and feel that it is too difficult to get a job?
I would not necessarily say that. Some of the people who expressed the view that I have described were very articulate and had long-term aspirations. They did not say that they wanted to look after their children for the next 10 or 15 years, but that their children need them when they are young and that they would sooner look after their children than get a job that would not make them much—or any—better off and which would have associated problems, such as identifying child care. I stress again that not everyone said that. A number of people who attended the groups and who were interviewed were working, so it is not the case that everyone from whom I took evidence was on benefits. However, a minority had the view that, in the short term, parental child care is the better option.
I have a final question. I am a bit confused about the people who were involved in the sessions. I got the impression that we had tried to identify people who were living in poverty, but that we ended up with people who were living with difficulties. It may be presumptuous to say so, but I think that you have just confirmed that some of the people were not living in poverty, as we would describe it. Is that correct?
I think that, on the margins, that might be true for some of them. The participants were asked to estimate their weekly income, and that information is in one of the report's appendices. I think, on the basis of that information and knowing the benefits that they received, that the vast majority were living in poverty. I did not try to use the standard definition.
You moved away from the standard definition in order to place those people in poverty.
Yes. It was just not practical to use the standard definition and say that, if people had 60 per cent of median household income, they could attend a focus group.
Did I misread the paper or does it concede that the people were not, strictly, living in poverty, but were living in difficulties?
They were living in difficulties.
But not in poverty.
I argue that, if we consider the income profile, they were living in poverty. I feel strongly that if I had gone through everything—their income, benefits and so on—and compared that to the 60 per cent of median household income, the vast majority would have met that statistical definition.
But you did not use that definition.
No.
I will follow up John Wilson's point about housing. You included in your report comments from members of your focus groups. I will remind you of some of those comments, so that you can see where I am going. One said:
Do you mean in any type of area?
Yes.
There is a desire for more social housing, although of a certain quality. In the course of the discussions, concerns emerged about the quality of housing, even of relatively recently built housing. For example, there were concerns about poor insulation and space standards. The issue is not only about numbers; it is also about quality.
That was helpful. All that I am respectfully suggesting is that, as your comments on housing were in the "Policy suggestions" part of your report, more of the points that you have just made could have been included. You have enlightened us on that, but I would like your report to say that housing is a key barrier to getting children out of poverty. You are right that housing is about quality as well as quantity, and that the problem applies in rural and urban areas and mixtures of the two. More such comments should be in the report, so that when people read it they find more focus on housing issues as a key barrier to getting children out of poverty.
My apologies to David McLetchie and Patricia Ferguson—I jumped on to my second list, which has members who want to ask another question.
We have talked a lot about perception compared to reality. I was interested in your conclusion on diet and poverty. It is perceived that poverty makes it difficult to provide children with a healthy diet. The report contains quotations from your focus groups about that, such as:
No, because my purpose was not to come in and tell people, "You're wrong. It's not like that." I encouraged people to articulate their views and opinions on what living in their situation was like. I did not say, "You're wrong—it's actually cheaper to buy an apple." That needs to be done in another forum or through another piece of work.
Absolutely. If what I described is a strongly held and conditioned view, it is obvious that it will guide people's actions and have the consequences of which we are all aware. The committee will make policy recommendations to the Government. If that perception is deeply held, we must somehow counter it. It is not acceptable to allow that perception to linger in the public consciousness if it is manifestly not the case.
I agree totally. That goes back to the role for local organisations. I am not here to advertise Rosemount Lifelong Learning in Glasgow, but such organisations have credibility with people who live in such circumstances. That credibility means that they can convey that message, which is likely to get through and be believed.
Many of the people whom we are talking about—those whom you met in your focus groups—are not in work. In theory, they have more time to prepare meals with fresh vegetables and so on. Is part of the problem the fact that some generations lack the ability or skills to prepare fresh fruit and vegetables, for example, so they rely unduly on more expensive convenience meals?
That might be one of the underlying issues, but that was not explored for the report.
On diet, was there any indication that people were referring to transport problems? In many areas where people who are in poverty live, the range of shops is so poor that they cannot buy fish and there is no fruit or veg to speak of. Did that emerge from your work?
No, it did not. To the best of my recollection, people did not make that point either in the report or in the evidence. However, I would guess that, were the matter to be pursued, it might be a factor.
Poor diet is not a problem exclusively for poor people. Some of the projects are confirming that fruit may be expensive at the fruit barrow, but we are providing subsidised fruit. Do not recent studies show a link between children from families who have better incomes and those from families on low incomes, in that they eat the same things? Curries and takeaways are now available to us all.
That is possible. I know that I eat such things.
I am interested in the dilemma that there seems to be around child care, especially for women who could get work. One of conclusions of the report, at paragraph 7.15, is that child care for all children aged six years and under should be free. Is there any evidence that people can get wider family support? Did the people with whom you were working say that the family support that they might hope for and which we hear a lot about and see a lot of these days, is not available? Did those who want to make a positive choice to work rather than stay at home say that they need additional financial support to allow them to do that?
Off the top of my head, I would say that family support existed for about 50 per cent of cases. The others did not have family support for a variety of reasons. First, their family might live a long way away. That need not be hundreds of miles away—there is an instance in the report of a person from Newton Stewart who had become homeless and was rehoused in Stranraer. Her family is in Newton Stewart, which means that, to all intents and purposes, she does not have family support.
I asked because of the way in which paragraph 7.15 is worded. The conclusion mentions:
Behind that wording is a view that policy generally is moving down the road of forcing people to work, so there would not be a choice. Even if people want to look after their children, they will not be allowed to do so because benefits changes and other measures will mean that they will have to get a job—full stop.
I want to go back to the report's education section, which I read with interest. Let me quote from paragraph 4.9:
Both points of view might be true. There is a feeling that some children—this is not the case for children who do not live in poverty or who live with their natural parents—live in difficult circumstances and so when they go to school, they have a lot of baggage. There is a feeling that education could perhaps be a little bit more understanding and forgiving of those children.
I agree about the need to ensure that teachers have more understanding of the children's home backgrounds so that they are aware of the bigger picture and can deal with the children more sensitively. Many schools have fantastic guidance systems that are very sensitive in dealing with such issues.
You have not missed anything about that in the report, because there is nothing in the report about it. It was difficult to do at times, but I tried to ensure that the report presents the views of the people who were interviewed and who attended the focus groups, and avoids passing judgment on those views. I did not want to say, "You're saying that because you were like that at school." One reason why is that I have no evidence to back up such a view—I have not done a case study of a child with pink hair, for example—and another reason is that my remit was to present people's views and opinions, not to express mine. I am sure Bob Doris will accept that that is a difficult thing to do. I could quite easily have said lots about what the people said.
I am interested in a comparison between the focus group and the interviewees. Table A1.4 in the report, which details the economic status of the people in the focus group, shows that five people, or 9 per cent of the focus group, were in full-time or part-time employment, while table A2.4, which details the economic status of those who were interviewed, shows that 23 per cent are in full-time employment and 40 per cent are in part-time employment, which means that 63 per cent of them were in some sort of employment.
You are right to point out that the profiles of the focus group and the interviewees are different. I have no doubt about saying that the vast majority of the focus group participants live in poverty—you quoted various figures on that.
Being in receipt of housing benefit could be used as a trigger. If you had interviewed a group of people whose income levels were below £15,000, you would have found that more received housing benefit. That would raise questions about the type of housing in which people live when they receive housing benefit. They do not have a choice about the housing in which they reside, because of the allocation policies that relate to housing benefit. That particularly affects single parents, who might find when they apply to a local authority or a registered social landlord for housing that most of the available properties are flats, especially if they present themselves as homeless.
I cannot give a definitive answer, but the impression of that conversation in the focus group was that that person would have returned to full-time education. Their comment was made with the benefit of hindsight, but their view was that they did not take that route because of its financial consequences. If it had had no financial consequences, they said that they would have entered education and training.
The route into further and higher education is still littered with dangers. I do not know about other members, but I am aware of people who returned to further education but found that, because of a lack of child care, benefits and other support, they had to drop out of their course. Several FE colleges are littered with people who—with good intentions—have returned to full-time education but feel that they cannot continue because of the lack of child care, benefits and other support, or who feel that continuing would be severely detrimental to their children and families.
You are right that that emerged as an issue. People made the point that some colleges have crèches, but that often there are long waiting lists for them. Other colleges that do not have crèches give financial support, but in some of the rural areas in particular, people said that there is no point in giving financial support because there is no provision that they can buy into. Child care seems to be a key issue in getting people into education.
The report suggests that providing free child care for all those aged six and under might be an option, although I notice you say that it is an ambitious suggestion. Why was the age of six chosen?
Suggestions were made by the people I interviewed or who were in the focus groups. I have tried to distil them and present a fair summary. I do not know why the age of six was suggested, but that was what—
It came from the focus groups.
Yes. If I had quizzed them and said, "What about five?" they might have said, "Oh yes, that's fine as well."
There are often two issues around child care. One concerns the child who is at home all day and therefore can be taken to child care, and the other concerns children who attend nursery or school and therefore child care is needed outwith those hours. You mention flexibility of child care in the report. Will you say more about that?
A key issue about that flexibility relates to the type of jobs either that people had experience of or found they could get at that moment. Care jobs figured significantly in some areas, but the problem was that most of them offered 12-hour shifts, or so I was told. The child care implications of that are pretty horrendous—you would never see your child, assuming that you could get child care.
Was there any mention of how free child care would be funded?
I do not think that the people I spoke to felt that it was for them to consider. That is your responsibility.
I just wondered whether they thought that child care would be provided by employers, the local council or whomever.
My guess is that they would see it as being the local council's responsibility, whatever that might mean—it might mean the Government. Several quotes in the report show that people's experience of most employers was that they were not very child friendly. They might have had the rhetoric of being child friendly and flexible, but people's experience was often that they were not. They were expected to be flexible, but the employer was not. At least one person in the report is quoted as saying that there is flexibility in the public sector but not in the private sector. I would be surprised if the participants saw employers as providing free child care.
I have a couple of quick questions. You identified that people were maximising their benefits with some success. I referred to the impact of increased fuel prices on income. Was there any indication that people were equally well informed about social tariffs, energy saving and how they could reduce the impact of fuel bills?
The straightforward answer is no. Concern was often expressed about things such as poor insulation, but no solutions were offered and they did not say that they knew where to go.
Maybe the committee should look into that.
Yes.
You say that, as a result of that, employment is not financially worth while for them and that the only way out of poverty for them is for the Government to raise the level of the benefits that they receive. To what level would those benefits need to rise to address that situation and to address the issue of poverty for those families?
The straightforward answer is that I do not know. The situation varies dramatically depending on things such as how many children people have. There is a danger of the benefits system interacting with the labour market. For instance, my guess is that, if the level of benefits rose substantially, the labour market would respond to that. It is probably a bad example to talk about at the moment, given the fact that the level of unemployment is rising, but if benefit levels rose substantially and more people felt that they were better off on benefits, employers might find it difficult to recruit staff, and it is likely that wage levels would rise in order to attract people back into the labour market. That is not a very good answer, but I cannot give you a pounds-shillings-and-pence answer.
What evidence do you have for the view that, in countries where the level of benefits is higher, people are encouraged to get into work because the minimum wage is increased?
I cannot give you any evidence for that off the top of my head, but I could look into it.
You go on to say that it is pretty unrealistic to think that, at this time, benefits would be raised to such a level, therefore is it not realistic to say that the best route out of poverty for people who want to provide a future for themselves and their families is getting a job?
Possibly in the medium term. People have different expectations and aspirations. Some of them are working—not everyone who was involved in the research was on benefits. Some were on benefits but others aspired to get into work. That will be the case in the medium term for quite a number of them.
The committee is interested in people's attitudes to getting a job, then getting a better job and getting a career. Was any frustration expressed about people's inability to move on in a job or to get a better job?
Not frustration, but there was a realisation that many people's lack of skills, qualifications and experience meant that the only jobs that they could get were what used to be described as entry-level jobs, although for a lot of people, once they get in, that is where they stay.
There is no progression for those who remain on benefits—none at all.
I agree, but I return to the point in my report that there was no evidence that people did not want to work. Many of the people were keen to work, although not necessarily at that time, and they wanted a job that would get them out of poverty. The report gives examples—one person wanted to become a teacher and another wanted to become a paramedic.
Those are not typical examples of people on benefits. You have mentioned that issue a couple of times. There may be people who have decided to take a career break and who eventually want to be a teacher or develop another career, but those are not typical examples of people who are trapped on benefits, are they?
They might not be. You made a point earlier that the report is very negative. The point that I am trying to make is that some of the people did not feel that they were trapped; they felt that they were trapped in the short term, but they had aspirations. I accept that not all of them had aspirations, but some did and I have given examples of them. As my report states, those aspirations may be unrealistic and may never be realised, but at least some people have aspirations and a wee bit of hope. They think that they can get out of their situation at some stage, which perhaps makes day-to-day life in poverty that wee bit easier to bear. That sounds a bit evangelical, but I sincerely believe that some of the people felt that they would not always be in the same situation. They thought, "Once wee Herbert is a bit older, I will be able to move on."
Did you do any analysis of the types of jobs that were available to the focus group members or the interviewees? You have talked about people's aspirations to be a teacher or a paramedic, but what jobs were available in the areas? My understanding from work that I did prior to becoming a member is that, although people have aspirations to do certain jobs that they perceive to be well paid, they are not in fact well-paid jobs. In many cases, people enter the labour market at the minimum wage or just above it, as you described. That raises a range of issues about the costs of employment. For example, as a result of travel costs and other associated costs, there is a cost of employment for someone who takes up a job five or 10 miles from their home. My main question is whether you analysed the types of jobs that were available.
The answer is no, although in one of the focus groups, in Stornoway, two of the people had just come from an interview at Jobcentre Plus and told me that the available jobs were hairdressers and mechanics. I do not know whether that was true. I did not study the vacancy figures to find out what they were so I could challenge people on them.
Thank you, Mr Hayton, for your report, your time and your evidence, which will be very helpful to the committee.
Meeting continued in private until 12:52.
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