30 June 2023
Statistics Jersey have today published the Jersey Household Income Distribution report 2021/2022.
This report is an update on the interim 2021/2022 report published in August 2022, which was based on approximately 800 survey responses collected from October 2021 up until May 2022. This full report uses responses from approximately 1,300 households between October 2021 and November 2022.
When making comparisons between reports, it is important to note that the reference period for this full report is March 2022, and the reference period for the interim report was December 2021. The results of this full report are broadly in line with those observed in the interim report.
Summary
Key statistics:
- Mean household income was £930 per week after housing costs, representing a decrease of 4% since 2019/2020 after adjusting for inflation
- Median equivalised household income was £710 per week after housing costs, representing a decrease of 5% since 2019/2020 after adjusting for inflation
- Median household income was 42% higher in Jersey than the UK after housing costs, but not adjusted for relative cost of living
- Half (49%) of equivalised household income after housing costs went to households in the top 20% of the income distribution, compared with 5% going to households in the bottom 20%
- After housing costs, a quarter (24%) of households were living in relative low income (RLI), defined as household income below 60% of median equivalised income: £520 per week before housing costs, and £430 per week after housing costs
- One in five (21%) individuals were in RLI, marginally lower than the UK (22%)
- One in four (24%) children were in RLI, a lower proportion than the UK (29%)
- More than one in four (28%) pensioners were in RLI, a higher proportion than the UK (18%)
Key themes:
- Mean and median household net income after housing costs have decreased in real terms by 4% and 5% respectively when compared with 2019/2020 (adjusting for inflation as measured by the Retail Prices Index)
- Mean household net income after housing costs decreased in real terms compared with 2009/2010 (down 6%), while the median was essentially unchanged (down 1%)
- The benefits and tax system improve income inequality; housing costs almost remove this improvement. This effect of housing costs increasing income inequality has grown over the last 12 years.
- The overall proportions of households and individuals living in relative low income (RLI) are similar to those recorded in 2014/2015 and 2019/2020
- Income inequality has increased over the last decade, that is the distribution of household income has become more unequal, particularly after housing costs are included
- The 90-10 ratio of equivalised net income after housing costs, which measures the income of the 90th percentile over the income of the 10th percentile, has increased from 4.8 in 2009/2010, to 6.0 in 2014/2015, and to 6.6 in 2021/2022
- The Gini coefficient, where 0 is complete equality and 1 is complete inequality, has increased from 0.39 in 2009/2010, to 0.41 in 2014/2015, to 0.43 in 2021/2022
- This report covers household income and spending on housing; it does not cover wealth or assets. For example, 19% of households in the lowest quintile after housing costs are owner-occupiers without a mortgage, so while they have lower incomes they have assets including their home.
Read the full report
gov.je