June 1, 2005
This statistical paper is based upon results from the British Household Panel Survey (BHPS) for the period 1991 to 2003. It analyses the movements around the income distribution by individuals between 1991 and 2003, and examines the extent to which individuals persistently experience low income, on both before housing costs (BHC) and after housing costs (AHC) bases. The report also contains tables showing the likelihood for different groups, of making a transition either into or out of low income, and identifies events and characteristics which are associated with the transitions.
Previously the Low Income Dynamics Paper was first published as a chapter of the Households Below Average Income (HBAI) annual report. Due to improvements in the timeliness, we now publish the analysis in the form of an analytical paper, the contents of which will be repeated in a separate chapter in HBAI 2004/05.