Why aren't we more outraged about child poverty?

When you talk about child poverty, you're essentially talking about fairness.

In a hall in East London, the Reverend Giles Fraser, formerly of St Paul’s Cathedral and now of St Mary’s, Newington, has a question for a small group of local teenagers, all aged around 15 or 16. 

“Fifty-two per cent of children in this borough live in poverty. What do you think is the average salary of people who work here?” he asks.

The guesses range from £10,000 to £18,000.

“All wrong,” he replies. “It’s £58,000. Because of Canary Wharf.”

Fraser’s been asked by the local council to find out what local children think is fair and unfair about the borough. We don’t tend to hear the voices of normal kids from the rough parts of town in the mainstream media - we tend only to hear from the extremes (the famous, or the ones being glowered at by Ross Kemp because they're part of a Growing Gang Problem). It’s a shame really, because the things they have to say are pretty interesting. After spending a few hours with them, I made a list of some of the things they find unfair:

- They think that when they put their address on their CV, it makes potential employers less likely to consider them, and that’s not fair. They don’t like the fact that their area is known as a place where there were riots. They don’t like the fact that when they go to places like Canary Wharf it’s opulent and gleaming; the polar opposite of the scruffy houses near Brick Lane where they live. 

- They don’t think it’s fair that old people in Tower Hamlets have to live in bad housing association accommodation. They’d like to volunteer to help them, but they don’t know how.

- They don’t think it’s fair that other kids in London boroughs have more facilities, parks and open spaces. They think it’s because those boroughs have better local government. 

- They don’t think it’s fair that people who work for the council; bus drivers and the like, are constantly rude to them. One boy: “These people are supposed to be public servants but the problem is they don’t see us as members of the public.”

- They don’t think it’s fair that their streets are scary. They’d like there to be more monitoring of places like bus stations, because gangs and drug addicts worry them.

- They don’t think it’s fair that they themselves often stereotype other young people - e.g. there’s a tendency to think someone’s  a “chav” just because he’s wearing a hoodie. One white kid, with a really thick East End accent, says: “Young people often think things like all Asian kids act the same: it’s bang out of order, and that’s mostly because of things put forward by adults in the media,” at which point most of the kids - the majority of them Asian - look at me accusingly, and I take a sudden interest in my shoes.

The thing that got me about this list - and there were a load of other issues  - was that I honestly don’t think I’d have said any of them when I was their age. I had a middle-middle class upbringing in a largely lower-middle class town, and was accordingly insulated from the twin concepts of what was fair and what wasn’t. 

I wasn’t scared of going out on the streets, I didn’t feel like public servants were in any way opposed to me, I didn’t think my postcode would have any impact on a job application, and so on. I just didn’t feel like I had it much better or worse than anyone else. A bit later, with the benefit of hindsight, I realised I did. But the point is, I don’t think it’s fair that none of these things should have impacted on me growing up, while these kids should be worrying about all of them at once. Because frankly, childhood’s tough enough.

The issue here is one of poverty - in some cases absolute, in most cases relative. Tony Blair pledged to abolish child poverty by 2020, and clearly, we won’t. But the argument over how we assess this is a thorny one. Blair had a simple aim: reduce the number of children living in households with less than 60 per cent median equivalised income. There is an obvious issue with this goal: if average incomes go up, but incomes of people lower down the scale stay still, then poverty has gone up despite the fact no one’s poorer. Likewise in a recession poverty is reduced, because the average income goes down. 

Policy Exchange - a think tank with which I can usually be relied upon to disagree with on everything - has also put forward a list of reasons why the target is flawed. It points out that if more people are in work, the median income goes up, thus increasing child poverty. So by this measure the Government is rewarded for doling out cash in benefits, rather than getting people into work, or improving the care and education systems, dealing with drug and alcohol dependency, improving housing, etc.

The kids in East London spoke a lot to me about relative poverty - about children in their borough living in cheap clothes, never being able to go on holidays, not eating properly - and as their testimonies revealed, the knock-on effects of this are pernicious. 

The question is whether the child poverty measure reflects their lives. It certainly feels right. Are the calls from Policy Exchange and the like merely a desire to muddy the waters? David Cameron has, prior to coming into power, said: “Poverty is relative – and those who pretend otherwise are wrong." The Institute for Fiscal Studies (IFS) has forecast that by 2015 the number of children in relative poverty will have risen by 400,000. A cynic might raise an eyebrow at this newfound desire to shift the goalposts on the part of the right.

It’s pretty easy to agree with Policy Exchange that the Government should look at things like parents with addiction and at in-work poverty, and it’s also clear that the child poverty measure is not perfect. But there are strong counter arguments. For a start, Labour wasn't just targeting that 60 per cent figure. The issue of shifting wages was why the Child Poverty Act includes an absolute poverty line - defined by the UN as “characterised by severe deprivation of basic human needs.”. It also includes a measure of low income and material deprivation, and another on persistent poverty. 

Policy Exchange claims that if people are moved from expensive private sector housing to cheaper social housing, that also pushes up poverty, because they need less cash in benefits - but actually there is a measure of before and after housing costs under the current system. Moreover, when the right complains that the statistic is a disincentive to work, it doesn’t note that almost two-thirds of children growing up in poverty live in a household where at least one member works. The answer is about surely about introducing a living wage, not reducing benefits. 

The other issue is that even if you disregard the median income figure, Labour’s achievements on many of the outlying factors were largely very impressive. Educational attainment and staying-on rates increased significantly; subjective well being and mental health indicators all showed a steady upward trend; and homelessness decreased. This was achieved through a number of methods - a more progressive tax and benefits system, measures designed to encourage parental employment, and more broader provisions - Sure Start, early years education provision, and the Decent Homes programme among others. 

But it would be disingenuous to make out that Labour’s record was brilliant, when so little progress was made on arguably the two biggest drivers of inequality - the differential rewards in the labour market and the disparities in educational attainment. And there’s a wider problem here: us. 

As the policy consultants Kate Bell and Jason Strelitz have argued: “By the middle of Labour’s period of Government, it had become clear to those concerned with child poverty that greater public concern on the issue was necessary to drive forward the policy agenda [...] but the agenda failed to resonate.” They cite three major reasons. Firstly, there was no coherent vision of what a society without it might look like. Second the term itself suggested “poverty” only applied to a static, small group of people, rather than a shifting dynamic, affecting the larger fabric of society. Finally, there was insufficient respect for those in poverty, with politicians and press happy to talk about a feral underclass.

And the one thing that really came out of the discussions I had is exactly how unfair - and how self-perpetuating - poverty is. What the kids were saying is backed up by statistics: by 16, children receiving free school meals achieve 1.7 grades lower at GCSE than their wealthier peers. Leaving school with fewer qualifications translates into lower earnings over the course of a working life. 

Basically, when you’re talking about child poverty, you’re talking about fairness. It’s something about which we should be absolutely outraged - but we just aren’t.

We should be really angry about child poverty, but we just aren't. Photograph: Getty Images

Alan White's work has appeared in the Observer, Times, Private Eye, The National and the TLS. As John Heale, he is the author of One Blood: Inside Britain's Gang Culture.

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Chuka Umunna calls for "solidarity" among Labour MPs, whoever is voted leader

The full text of shadow business secretary Chuka Umunna's speech to Policy Network on election-winning ideas for Labour's future, and the weaknesses of the New Labour project.

There has never been an easy time to be a social democrat (or “democratic socialist” as we sometimes call ourselves in Britain). Whereas the right can demonise the poor and extol the virtues of the market, and the hard left can demonise the market and extol the role of the state, our position of constraining the domination of markets and reforming the state is, by definition, more complex.

It is nonetheless the case that social democracy has a historic responsibility, in every generation, to renew democracy and preserve a civic culture. This is achieved not through soundbites and slogans, but through the hard-headed development of a progressive politics that reconciles liberty and democracy, new comers and locals to our communities, business and workers, in a common life that preserves security, prosperity and peace.  This historic mission is all the more urgent now and my determination that we succeed has grown not weakened since our election defeat last May.

But, in order to be heard, it is necessary to make balanced and reasonable argument that both animates and inspires our movement, and which is popular and plausible with the people.  The first is pre-requisite to the second; and there is no choice to be made between your party’s fundamental principles and electability. They are mutually dependent - you cannot do one without the other.

We are in the midst of choosing a new leader and it is clear to anyone who has watched the UK Labour Party leadership election this summer that amongst a significant number there is a profound rage against Third Way politics – as pursued by the likes of Bill Clinton, Tony Blair, Gerhard Schröder and others - as a rejection of our fundamental values.

In the UK there is a view that New Labour accepted an uncritical accommodation with global capital that widened inequality, weakened organised labour and we were too close to the US Republicans and too far from the European left.

I do not believe this is fair, not least because we rescued many of our public services from the scrap heap when we came to office in 1997 and there were very significant achievements  we should celebrate.  New Labour renewed our National Health Service in a fundamental way; we built new schools and improved existing ones; we set up new children’s centres all over the country; we brought in a National Minimum Wage; we worked with others to bring peace to Northern Ireland; we introduced civil partnerships.  Just some of our achievements.

However, though we may take issue with the critique, I do not think we can simply dismiss out of hand those who hold critical views of New Labour. Like any government, the New Labour administration made mistakes - it could and should have achieved more, and done more to challenge the Right’s assumptions about the world. In the end, it is not unreasonable to be ambitious for what your party in government can achieve in building greater equality, liberty, democracy and sustainability. It is far better we acknowledge, not reject, this ambition for a better world, as we seek to forge a new politics of the common good fit for the future.

Realising our values in office has been disrupted by globalisation and the surge of technological forces that are displacing and reshaping industry after industry.

Some argue that globalisation as an ideological construct of the right. But we must recognise that we live in an increasingly integrated world in which markets have led to an unprecedented participation of excluded people in prosperity, a rise in living standards for hundreds of millions  of people and a literacy unprecedented in human history – this is particularly so in emerging economies like my father’s native Nigeria. And the internet has led to a level of accountability that has disturbed elites.

Yet, this has been combined with a concentration of ownership that needs to be challenged, of a subordination of politics that requires creative rather than reactive thinking, and these global forces have exacerbated inequalities as well as helped reduce poverty.

So it is important that we understand the sheer scale and impact of new technologies. At the moment we are engaged in a debate about Uber and its threat to one of the last vestiges of vocational labour markets left in London, those of the black taxi cabs and their attainment of 'The Knowledge'. But the reality is that within the next decade there will be the emergence of driverless cars so we have to intensify our exploration of how to support people in a knowledge economy and the realities of lifelong learning, as well as lifelong teaching. As people live longer we will have to think about how to engage them constructively in work and teaching in new ways.

Once again, I'm addressing all of this, Social Democracy requires a balanced view that domesticates the destructive energy of capital while recognising its creative energy, that recognises the need for new skills rather than simply the protection of old ones. A Social Democracy that recognises that internationalism requires co-operation between states and not a zero sum game that protectionism would encourage.

Above all, Social Democratic politics must recognise the importance of place, of the resources to be found in the local through which the pressures of globalisation can be mediated and shaped. Our job is to shape the future and neither to accept it as a passive fate nor to indulge the fantasy that we can dominate it but to work with the grain of change in order to renew our tradition, recognising the creativity of the workforce, the benefits of democracy and the importance of building a common life.  Sources of value are to be found in local traditions and institutions.

This also requires a recognition that though demonstration and protest are important,; but relationships and conversations are a far more effective way of building a movement for political change.

One of the huge weaknesses of New Labour was in its reliance on mobilisation from the centre rather than organising. It therefore allowed itself to be characterised as an elite project with wide popular support but it did not build a base for its support within the party across the country, and it did not develop leaders from the communities it represented. It was strong on policy but weak on strengthening democratic politics, particularly Labour politics.

Over half a million people are now members, supporters or affiliated supporters of our party, with hundreds of thousands joining in the last few weeks. Some have joined in order to thwart the pursuit of Labour values but many more have joined to further the pursuit of those values, including lots of young people. At a time when so many are walking away from centre left parties across the Western world and many young people do not vote let alone join a party, this is surely something to celebrate.

So it is vital that we now embrace our new joiners and harness the energy they can bring to renewing Labour’s connection with the people. First, we must help as many them as possible to become doorstep activists for our politics. Second, I have long argued UK Labour should campaign and organise not only to win elections but to affect tangible change through local community campaigns. We brought Arnie Graf, the Chicago community organiser who mentored President Obama in his early years, over from the U.S. to help teach us how to community organise more effectively. We should bring Arnie back over to finish the job and help empower our new joiners to be the change they want to see in every community – we need to build on the links they have with local groups and organisations.

I mentioned at the beginning that in every generation Social Democracy is besieged from left and right but the achievements of each generation are defined by the strength of a complex political tradition that strengthens solidarity through protecting democracy and liberty, a role for the state and the market and seeks to shape the future through an inclusive politics. Solidarity is key which is why we must accept the result of our contest when it comes and support our new leader in developing an agenda that can return Labour to office.

Yes, these are troubled times for social democrats. All over Europe there is a sense among our traditional voters that we are remote and do not share their concerns or represent their interests or values.  There is surge of support for populist right wing parties from Denmark to France, of more left wing parties in Greece and Spain and in Britain too. There is renewal of imperial politics in Russia, the murderous and abhorrent regime of ISIL in the Middle East, volatility in the Chinese economy and in Europe a flow of immigration that causes fear and anxiety.

But, the task of Social Democracy in our time is to fashion a politics of hope that can bring together divided populations around justice, peace and prosperity so that we can govern ourselves democratically. We have seen worse than this and weathered the storm. I am looking forward, with great optimism to be being part of a generation that renews our relevance and popularity in the years to come.

Chuka Umunna is the shadow business secretary and the Labour MP for Streatham.