The Under-Pensioned: Ethnic Minorities Mubeen Bhutta Policy and - - PDF document

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The Under-Pensioned: Ethnic Minorities

Mubeen Bhutta Policy and Communication Officer PRIAE 3rd March 2004

About PRIAE

• Independent charity established in 1998
• Working in the UK and Europe to improve income,

pensions, health, social care and housing, and quality of life for black and minority ethnic older people

• Leads on research projects, service developments,

information, policy responses, training and consultancy

• A unique body working in this area

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Demographic Change

England and Wales - breakdown of population by age and ethnic group

Source: PRIAE analysis of 2001 Census

5 10 15 20 25 30 0-14 15.29 30-44 45-64 65-74 75+ White All BME groups

Low earnings

• BME communities have lower earnings throughout working life
• Older workers face ‘double disadvantage’

10 20 30 40 50 60 White Irish Indian Pakistani/Ba ngladeshi Black Caribbean Bottom quintile of income distribution Top quintile of income distribution

Source: Evandrou, M (2000)

Indicators of economic resources, at 60+ years, by ethnicity

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Long Term Unemployment

• Unemployment rates higher for BME groups at all ages
• Older BME groups compounded by long-term unemployment

10 20 30 40 50 White Black Indian Pakistani/Ban gladeshi Other 16 - 24 25 - 34 35 - 44 45 - 59/64

Unemployment rates by ethnic group and age

Source: PRIAE analysis of Labour Force Survey (1999)

Self employment

• High levels of self employment in some BME groups
• Masking of shortfall in household income

5 10 15 20 25 30 W h i t e B l a c k C a r i b b e a n B l a c k A f r i c a n I n d i a n P a k i s t a n i B a n g l a d e s h i C h i n e s e 1998 1999 2000

Self employment levels of males by ethnic group

Source: Cabinet Office (2003)

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Other Factors

• Late entry
• Post-war colonial progression
• ‘age bulge’ identified by PRIAE
• Remittance payments

Communication

• The Pension Service
• BME voluntary organisations
• Financial services industry

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Conclusion

• PRIAE concurs with the PPI’s conclusion

that ‘recent reforms to the current pension system will not resolve the under- pensioned problem’

Minority Elderly Care Project

• First Europe-wide research project in this

area

• Covering elders from 26 minority groups in

the UK, France, Netherlands, Germany, Spain, Finland, Switzerland, Hungary, Croatia, and Bosnia-Herzegovina

• Will produce key data in terms of health and

social care, access and income, and gaps in services

• Due for release later in 2004