Nottingham is the poorest place in the country, according to Government data. The Office for National Statistics (ONS) has ranked the whole of the UK based on gross disposable household income (GDHI), the amount of money households have after paying tax and receiving benefits, and Nottingham is at the bottom of the list.
In comparison to the UK average of £21,440, Nottingham had the lowest GDHI per head at £13,952. This has increased from £13,147 in 2018 and £13,560 in 2019, before the Covid pandemic.
Despite it being the worst ranked region, Nottingham showed one of the largest GDHI per head increases in 2020, with the amount growing by 2.9%. As is often the case, the River Trent showed a contrast of fortunes in Nottinghamshire, with Rushcliffe having a healthy GDHI per head of £23,260.
Read more: River Trent acting as health and wealth divide and one side 'can only afford food from Iceland'
The GDHI measure is seen to reflect the "material welfare" of the household sector, according to the ONS. The household sector includes residents of traditional households, as well as those living in communal establishments. GDHI also includes the business income of self-employed people.
The bottom five areas based on gross disposable income were Nottingham, Leicester, Blackburn with Darwen, Sandwell and Coventry. In contrast in 2020, Kensington and Chelsea, and Hammersmith and Fulham was the area with the highest GDHI per head of £60,277, nearly three times the UK average.
Nottingham City Council has argued the ONS statistics are misleading. The council said a number of factors, including a high student population and small city boundaries that excluded suburbs, made the figures look worse than the reality.
Portfolio Holder for Skills, Growth and Economic Development, Councillor Rebecca Langton, said: “These statistics always present a skewed picture. That’s because our tight boundaries leave most of the leafy suburbs outside the city where, for example, wealthy pensioners who are counted in these statistics are more likely to live. We have a higher proportion of students in our population than most cities – and with low or no income, they make the city’s overall income levels seem worse.
“However, figures like these show why it's so important that we do all we can to stand alongside Nottingham people and use our resources to help when times are tough, like with the cost of living crisis. We know that Nottingham has some of the most deprived communities in the country, with significant variations in pay and high levels of unemployment and benefit claimants, which is why we continue to do all we can to provide vital support and services for local residents, and call on Government to give us more help to do that.
“It is also why we work with partners to maintain and increase employment prospects and education and training opportunities for local people, and improve Nottingham’s appeal for investors and new businesses, to bring new jobs to the city. There is a great deal of investment and development underway in the city that shows confidence in Nottingham and it remains a vibrant and successful regional capital.”
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