1 LVSC & Trust for London conference on income inequality in London 100 years of tackling poverty and inequality in the capital The Wealth Chasm Danny Dorling 23rd November 2010 Clifford Chance Canary Wharf A llC ause SMR 2 9 - 9 0 9 0 - 1 05 105 - 11 2 112 - 12 0 120 - 14 6 B o oth -b a se d In dex O f P o ve rty Low (rich e st) H ig h (p oo re s t) 1991 C ensus base d Index Low (rich e st) H ig h (p oo re s t) m ap i m a p ii m a p iii Poverty in London, 1896, 1991 and later morta See this and other talks as multimedia versions at http:// www.sasi.group.shef.ac.uk /presentations/
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The Wealth Chasm - 100 years of tackling poverty and inequality in the capital
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LVSC & Trust for London conference on income inequality in London
100 years of tackling poverty and inequality in the capital
The Wealth Chasm
Danny Dorling
23rd November 2010
Clifford Chance
Canary Wharf
All Cause SMR29 - 9090 - 105105 - 112112 - 120120 - 146
Booth-based Index Of PovertyLow (richest)
High (poores t)
1991 Census based IndexLow (richest)
High (poores t)
map i
map ii
map iii
Poverty in London, 1896, 1991 and later mortality
See this and other talks as multimedia versions at http://www.sasi.group.shef.ac.uk/presentations/
“Why income inequality is of relevance to all Londoners, especially at a time when the capital is not only still recovering from the recession but also facing severe cuts in public sector spending”
1 in 10 of whose babies died in 1901 because they tolerated poverty. Today’s equivalent is poor mental health
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“When I’m worried about something I can talk to my mum or dad” “When I’m worried about something I can talk to my friends”
“When I’m worried about something I can talk to an adult other than my mum or dad”. Children who answered ‘yes’ to at least 2 of these
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GOR
Emotional health of children 2008/09
Emotional health of children 2009/10 change
North East 63.6 56.7 -6.9
North West 65.0 58.6 -6.4
Yorkshire and The Humber 64.3 57.3 -7.0
Sheffield East Midlands
60.461.9
56.554.2
-3.8-7.7
West Midlands 63.6 57.8 -5.8
East of England 61.6 56.0 -5.6
London 60.2 53.2 -7.0
South East 61.6 54.8 -6.8
South West 62.7 56.2 -6.5
England 62.6 56.0 -6.6
Source: “Tell US” Survey – cancelled 2010
Children’s mental health is getting worse. Especially in London
22nd out of the 25+1 EU countries before the crash for child poverty as measured by the European standard
We are cutting back
on ‘transfers’,
starting with the £165 maternity
grant.
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Greater London parliamentary constituencies
“Core Poor” cartogram of Greater London parliamentary constituencies
“Exclusive Wealthy” cartogram of Greater London parliamentary constituencies
We live in different spaces, especially the very rich who are most dislocated from society
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London’s place in the world economywhere cities orbit global capital.
As viewed from Houston
http://sasi.group.shef.ac.uk/maps/wcn_atlas3.htm
We are trapped in thinking that London can only survive as New York’s twin star…
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In June 2010 we learn the councils to be cut the (%) most are:
DoncasterRedcar & ClevelandLiverpoolKnowsleyMiddlesbroughSt HelensBlackpoolSouth TynesideNorth East LincolnshireBlackburn with Darwen
(and Sheffield – singled out for cruel and unusual cuts)
In April 2010 we learn that – Gordon wanted to “help people”:
“ Duffy: – but all these eastern Europeans coming in, where are they flocking from?
Brown: A million people come in from Europe, but a million British people have gone into Europe, you do know there’s a lot of British people staying in Europe as well. So education, health and helping people, that’s what I’m about.”
The Times, 28/4/2010.
And:The ten councils to be cut the least are:
City of LondonEalingRedbridgeDudley (the only error?)BarnetHarrowBrentHaveringWandsworthBexley
We will undertake the most vindicate of disproportionate cuts to protect the status quo
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October 20th 2010 – we were told how savings would be made:
• One of the first announcements was that new tenants of council and other social housing will now have to pay at least 80 percent of market prices in rent. In one stroke millions of low paid families are to be excluded from living in hundreds of towns, cities and villages where they no longer earn enough to “deserve” to be.
• There are many threats being made to have to take any job or be made to “volunteer” for no pay.
Then came the spending reviewWe think there is no alternative
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And then came more and more questions and doubt
• Housing benefit will not be paid for people under the age of 35 who live alone—this previously applied only to those under 25.
• There would be a 10 percent cut in council tax benefit for those who cannot afford to live in certain areas.
• The immediate question asked was: Are the few remaining people living on modest incomes near affluent suburbs or in economically successful towns and villages to be cleansed away?
We think we are not up to doing anything better than this
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Even the mayor of London spoke up against his party
• The best-off fifth of society will lose just 1 percent of their entitlements to public services and spending, the lowest losses of any group.
• A million people currently on employment and support allowance due to ill health will each lose £2,000 a year if they cannot find a job.
• With the state pension age rising rapidly to 66 years, only those with private provision can now retire at the normal age. Public sector pensioners will have £1.8 billion removed from them by 2014-15. Pension credits will be frozen for three years.
The ‘we’ who think this are a small minority
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It could be the greatest threat to health inequalities
• No family on benefits is to receive more than the income of an average family in work, no matter what the circumstances of their children. If you are poor—or are made poor when you lose your job or have a pay cut forced on you—and have three or more children, you may need to leave your town for a new life in a cheaper area, away from where the remaining well paid work is.
• People with worse health will have to move to poorer areas.
• This is a recipe to increase inequalities between areas as fast as possible. I think it makes everyone worse off, so is in the saddest sense ‘fair’, but only in its likely stupidity of outcome.
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1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Difference between bestand worst-off districts bylife expectancy (years):People
We think the price has to be paid
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Conclusion – keep askingwhy are 16 or 20 countries better?
Everyone is worse off because there is less social solidarity, more fear:
• The latest UN report lists those European countries currently having a higher life expectancy than the UK as: Iceland (almost 82 years), Switzerland, Italy, France (81 years), Sweden, Spain, Norway, Austria (to almost 80 years), the Netherlands, Germany, Ireland, Malta, Cyprus, Finland, Belgium and Luxembourg. People also live for longer than in Britain in Australia, Canada and New Zealand (and especially Japan), but not in the United States (where comparable life expectancy is only 79.1 years)
Of the richest 25 nations in the worldthe UK is the 4th most unequal by incomeinequality (90:10 ratio UNDP figures).
We think we are held hostage to the bond markets
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Conclusion – keep askingwhy are we slipping down league tables of decency?
• Life expectancy is up in the UK, but increased economic inequality here would be expected to move our rank position below one of these four countries next, to slip from 20th place to 21st or 22nd out of 25.
• If that happens then there will be falls in life expectancy in some areas.
• • … we have just moved below
Greece, and the cuts there are far more equitable than here… (salaries cut rather than jobs and mostly benefits going…)
• People do live slightly shorter lives now in Greece (but not by 2010 EU data),
• Portugal (more economically unequal than the UK),
• Denmark (where smoking is still very common) and in
• Slovenia (78.2 years).
All these figures are from Table H of the most recent UNDP human development report (2009) and purport to be for around the year 2007.
We think all this damage is just ‘collateral damage’ that comes with success
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Our murder rate is again at Victorian levels, as is the life expectancy gap between areas.Material conditions might be much better but
often our mental health, fear and anxiety is worse. We know we are not all in it together. We could be.
And we put the young
in debt
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See this and other talks as multimedia versions atSee this and other talks as multimedia versions athttp://www.sasi.group.shef.ac.uk/presentations/