Local Level Average Household Income Estimates 2014

A full summary of the modelling methodology is available in Annex A of the Summary Report available at http://www.gov.scot/Topics/Built-Environment/Housing/supply-demand/chma

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Monetary values are for 2014, scaled for consistency with the FRS values for Scotland in that year. However, it should be emphasized that the base year for the analysis was 2011, using SHS data pooled over the period 2009/10 to 2013/14 linked to 2011 Census and other data.

The income estimates presented below relate to gross household income, which covers total income received by all adult members of a household, including welfare benefits, tax credits and housing benefit. The estimates reflect total income before any deductions are taken off for income tax, national insurance contributions and council tax etc.

The household income estimates for 2014 have been produced for the purposes of updating the Scottish Government Housing Need and Demand Assessment (HNDA) Tool.

The estimates will also inform work on housing affordability more generally across different tenures and different geographic areas of Scotland, and will help to support local authorities and their partners in the production of Local Housing Strategies and other planning documents.

It is important to note that the gross household income estimates are only one measure of income, and should not be considered on their own without consideration of other local level information. Users are strongly encouraged to use other detailed statistics such as the Scottish Index of Multiple Deprivation or the Scottish Census to develop a basket of evidence and statistics to build up a comprehensive picture of people and households in local areas.

It is also important to note that the gross household income estimates are not intended to be a measure of person-level income, they do not reflect household income adjusted by household size, they do not reflect income levels after tax or after housing costs, they do not provide information on wealth or assets, and they are not intended as a measure of income based deprivation. Not all people in areas of low average gross household incomes will necessarily be deprived or in poverty, and not all households in areas of high average gross household incomes will necessarily contain people with high levels of personal disposable income or wealth.

If you wish to use the income estimates for reasons other than housing affordability, you should be clear about the methodology and limitations associated with the data and you may wish to seek advice first from Scottish Government Centre for Housing Market Analysis chma@gov.scot.

The figures presented are synthetic modelled estimates, in which data on income and household characteristics from a national survey (the Scottish Household Survey) has been combined with associated local area level data. The estimates generated for a given local area level are therefore the expected levels of income in that area based on the household characteristics as measured by the associated local level data, and are not aggregations of actual income data at a local level

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The estimates are synthetic modelled estimates and therefore there is not direct risk of disclosure of income data.