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goods is regularly updated, based on the views and experiences of ordinary people across all four nations of the UK about what is required to fully participate in society, and how social norms and needs change over time. The Living Wage
Commission currently views the Minimum Income Standard research carried out by the Centre for Research in Social Policy at Loughborough University as the best available source for this basket of goods.
31:(MIS) is a research method developed in the UK, and now applied in other countries, to identify what incomes different types of households require to reach a socially acceptable living standard. The term has also been used to describe political criteria used openly or implicitly by some governments to assess the adequacy of income levels. MIS is the basis for the calculation of the UK
88:, all of which have detailed negotiations to come to a consensus about the things a household would have to be able to afford in order to achieve an acceptable living standard. Three waves of groups identify and check which items are to be included, with each successive group either corroborating or amending the decisions of previous groups.
59:. The research is now fully carried out by CRSP. MIS represents a budget standard in its specification of the level of disposable income households need in order to achieve an adequate standard of living. MIS may also be referred to as a reference budget, as it provides a costed list of items that households need to buy.
153:
The defining feature that differentiates the independent Living Wage rates from the statutory wage floors is that they are based on analysis of the specific goods and services that employees and their families need to meet a minimum acceptable standard of living. It is important that this basket of
144:
to accredit Living Wage
Employers. The uprating of the Living Wage figure each year takes account of rises in living costs and any changes in what people define as a ‘minimum’. The present system, using MIS to calculate living costs separately for London and the rest of the UK, was designed in 2016
108:
In identifying things that everyone should be able to afford, MIS does not attempt to specify extra requirements for particular individuals and groups: for example, those resulting from living in a remote location or having a disability. So, not everybody who has more than the minimum income can be
95:
The MIS method develops negotiated consensus through projection, whereby group members are asked not to think of their own needs and tastes but of the needs of hypothetical individuals or case studies. Participants are asked to imagine they are in the home of the individuals under discussion and to
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on relative poverty and low income, which argued that living conditions must be seen in the context of widely held expectations of the resources that members of a society should have. The first MIS orientation groups were tasked with setting a definition of MIS, which continues to be used to define
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MIS is relevant to the discussion of poverty, but does not claim to be a poverty threshold. This is because participants in the research were not specifically asked to talk about what defines poverty. However, it is relevant to the poverty debate in that almost all households officially defined as
112:
MIS was originally calculated as a minimum for
Britain; subsequent research in Northern Ireland in 2009 showed that the required budgets there are all close to those in the rest of the United Kingdom, so the national budget standard now applies to the whole of the UK. This standard was calculated
62:
Unlike some other kinds of reference budget that draw heavily on expert input, MIS is informed by budget lists drawn up by members of the public, checked by experts, and approved by final ‘check-back’ groups of members of the public. The use of consensual focus groups was developed at CRSP in the
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Outside the United
Kingdom, the CRSP team has applied the method in Guernsey and supported studies in other countries. Projects adopting the MIS method have been undertaken in the Republic of Ireland, France, Japan, Portugal and Austria. Exploratory projects in Mexico and South Africa have been
68:
the
Minimum Income Standard for the United Kingdom: ‘a minimum standard of living in Britain today includes, but is more than just, food, clothes and shelter. It is about having what you need in order to have the opportunities and choices necessary to participate in society’.
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The original research was carried out in
Britain in 2007 and the findings presented in 2008 were costed using April 2008 prices. Every July, new MIS figures are published, updated to April of the same year. The updates take on board inflation and changes in minimum needs.
145:
under the supervision of the Living Wage
Commission, to replace the previous systems in which the London and out of London rates had been set using different methods. The Commission distinguished the independent, accredited Living Wage from the so-called "
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being in income poverty (having below 60 percent of median income) are also below MIS. Thus households classified as in relative income poverty are generally unable to reach an acceptable standard of living as defined by members of the public.
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Groups are made up of people from a mixture of socio-economic backgrounds but all participants within each group are from the type of household under discussion. For example, pensioner groups decide the minimum for pensioners.
572:
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The most recent
Minimum Income Standard Report in 2017, funded by Trust for London, found that 39% of Londoners have an income below the Minimum Income Standard. This is higher than the rate of 30% in the UK as a whole.
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Experts check that these specifications adequately fulfil needs relating to nutrition and fuel consumption and, in some cases, feed information back to subsequent research groups that check and amend the budgets.
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MIS has been used in evidence in a landmark High Court ruling on asylum seekers’ benefits and in evidence put to the
Welfare Reform and Work Public Bill Committee about reforming child poverty targets. The
96:
explain what items they would need in their everyday life to reach the living standard set out in the definition of MIS. Where groups fall short of consensus, subsequent groups help to resolve differences.
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has used evidence from CRSP to encourage all
Scottish employers to pay the Living Wage, and the Scottish Government itself has committed to paying the Living Wage as part of its public sector pay policy.
561:
ONPES (Observatoire National de la Pauvreté et de l’Exclusion Social) (2015) Les Budgets de Référence: Une Méthode d’Evaluation des Besoins Pour Une Participation Effective à la Vie Sociale. Paris: ONPES
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CRSP has also carried out research to further understanding of additional costs of living for households with additional needs. Research that produced minimum budgets for people with
298:
Robert Walker (1987). Consensual Approaches to the Definition of Poverty: Towards an Alternative Methodology. Journal of Social Policy, 16, pp 213¬226 doi:10.1017/S0047279400020389
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1990s, while the FBU focused on expert-based standards. MIS brought these two approaches together. Detailed research with members of the public takes forward work by
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based on the needs of people in urban areas. Further projects have looked at how requirements differ in rural areas and in London, respectively.
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guaranteed to achieve an acceptable living standard. However, someone falling below the minimum is unlikely to achieve such a standard.
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Davis, Abigail; Hirsch, Donald; Iwanaga, Rie; Iwata, Masami; Shigekawa, Junko; Uzuki, Yuka; Yamada, Atsuhiro (January 2014).
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is an online tool that can be used by members of the public to calculate the minimum budget for their own household.
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573:"Comparing the Minimum Income Standard in the UK and Japan: Methodology and Outcome | Cambridge Core"
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MIS was originally funded, in 2006, under the title of a Minimum Income Standard for Britain, by the
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388:(Report). Centre for Research in Social Policy Loughborough University. Archived from
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Padley, Matt; Marshall, Lydia; Hirsch, Donald; Davis, Abigail; Valadez, Laura.
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Collins, Micheál A.; Mac Mahon, Bernadette; Weld, Gráinne; Thornton, Robert.
241:. Exploring the Basic Income Guarantee. Palgrave Macmillan US. p. 212.
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475:"News Archive | CRSP Sept -15 | Loughborough University"
334:"A minimum income standard for rural households | JRF"
210:. In Tony Fitzpatrick; Huck-ju Kwon; Nick Manning (eds.).
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Warnaar, Marcel; Luten, Albert, eds. (December 2009).
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MIS researchers facilitate a sequence of deliberative
497:"Living wage for public contract bidders – BBC News"
124:was conducted in 2015 and 2016. This was funded by
551:. The Policy Institute at Trinity College Dublin.
523:"www.gov.gg/CHttpHandler.ashx?id=5654&p=0"
8:
212:International Encyclopedia of Social Policy
47:, and carried out in partnership by the
546:"A Minimum Income Standard for Ireland"
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437:: CS1 maint: archived copy as title (
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309:"Minimum Income Standard London 2017"
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379:A Minimum Income Standard for London
49:Centre for Research in Social Policy
238:The Feasibility of Citizen's Income
140:is based on MIS and is used by the
356:"Highlands and Islands Enterprise"
55:and the Family Budget Unit at the
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206:John Veit-Wilson (4 July 2013).
336:. jrf.org.uk. 23 November 2010
175:Development in Other Countries
1:
272:Handbook of Reference Budgets
583:(1). cambridge.org: 89–101.
453:"Current Students and Staff"
65:Peter Townsend (sociologist)
214:. Routledge. p. 1301.
18:The Minimum Income Standard
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278:. The Netherlands: Nibud.
208:"Minimum Income Standards"
45:Joseph Rowntree Foundation
589:10.1017/S147474641300033X
577:Social Policy and Society
169:Minimum Income Calculator
136:The calculation for the
126:Thomas Pocklington Trust
53:Loughborough University
29:Minimum Income Standard
142:Living Wage Foundation
147:National Living Wage
180:supported by CRSP.
161:Scottish Government
419:on 11 October 2016
395:on 17 August 2016.
235:Torry, M. (2016).
57:University of York
285:978-90-8904-030-5
248:978-1-137-53078-3
221:978-1-136-61003-5
118:visual impairment
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624:Minimum wage
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358:. hie.co.uk
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33:living wage
602:10 October
529:10 October
507:10 October
481:10 October
459:10 October
423:10 October
362:10 October
340:10 October
318:8 February
193:References
51:(CRSP) at
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618:Category
525:. gov.gg
501:BBC News
433:cite web
39:Origins
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80:Method
593:S2CID
549:(PDF)
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604:2016
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509:2016
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280:ISBN
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