Why is this Purpose target important?
The healthy development of our society depends on reducing inequalities and sharing the future benefits of growth among people and communities. Unlocking the economic potential of all individuals will support economic growth by increasing labour market participation and by removing the personal and social costs of poverty.
What will influence this Purpose target?
Income inequality is influenced by several factors, including:
- Accessibility of employment opportunities, especially for those on lower incomes.
- Opportunities for the lower-paid to improve their skills.
- Changes in the income differential between the lowest and highest paid occupations.
- Entitlement to, and take-up of, benefits.
What is the Government's role?
The Government influences solidarity in a number of ways. These include:
- Learning, skills and well-being: a focus on giving every child a strong start in life, as well as in school education, enabling them to gain the skills they need to succeed.
- Infrastructure development and place: a focus on investment that will improve Scottish transport connections to maximise employment opportunities.
- Equity: providing the opportunities - and incentives - for all to contribute to Scotland's sustainable economic growth. For example, by ensuring that support is available to improve the life chances of those most at risk.
- Effective government: to support local employability partnerships to help more people into work through delivery of effective services that meet their needs.
How are we performing?
The proportion of income earned by the lowest three income deciles has remained relatively constant over the period 2001/02 to 2006/07. During this time overall income has increased by £9,470 million in real terms. Between 2005/06 and 2006/07 overall income increased by £400 million in real terms, and the proportion of income earned by the lowest three income deciles remained the same.
Source: Department for Work and Pension's Family Resources Survey, Households Below Average Income datasets
Methodology
This evaluation is based on: an increase in overall income of £5,000 million or more, and the proportion of income earned by the lowest three deciles increasing by 1 percentage point or more from last year's figure suggests that the position is improving; whereas a decrease in overall income of £5,000 million or more, and the proportion of income earned by the lowest three deciles decreasing by 1 percentage point or more suggests the position is worsening. Any other combination of changes suggests that the position is more likely to be maintaining than showing any change.
For information on general methodological approach, please click here.
Further Information
2007 Spending Review Technical Note
Statistics Topic Page