18/9 2009 1

One person households with low incomes - a growing challenge to the Finnish housing policy and social

policy Sirkka-Liisa Kärkkäinen

European Research Conference, Homelessness and Poverty in EuropeParis, 18th of September 2009

18/9 2009 2

The summary of the presentation

1. The number of one person households increases every year – in every age group. Why does the "housing career" of these groups develop?

2. Two thirds of these people live in blocks of flats in small dwellings. A half live in rental housing.

3. The housing production and the housing policy cannot satisfy the housing demands of this group.

4. A third of one person households live under the EU poverty threshold. Social policy measures to help one person households are insufficient – this is a hidden question.

5. The risk of homelessness increases among one person households due to their economic problems and the insufficient supply of small decently prised dwellings.

18/9 2009 3

Households in Finland 2008The population of Finland is 5,3 million. 2,5 million households (house-dwelling units)

Of these:

41 % one person households (1 015 000); the average increase

20 000 households/ year

33 % two persons households (823 000); the average increase

13 000 households/year

26 % households with three or more persons (660 000), the number diminishes every year

Increase in the number of households total ~25 000 /year

New dwellings produced in average 30 000 / year in the 2000s, now less.

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Households in Finland by number of persons in 1960-2008

0

500000

1000000

1500000

2000000

2500000

3000000

1960 1970 1980 1990 2000 2008

7+persons

6 persons

5 persons

4 persons

3 persons

2 persons

1 person

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The age structure of one person households

24 % young (under 35 years)

25 % middle-aged (35-54 years)

18 % "baby boom age groups" (55-64 years)

33 % elderly (65+ years)

The numbers are increasing in every age group.

Conclusion: living alone is not only connected to young and old age

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Mail and female one person households

– 55 % of one person households are female households

– the number of mail one person households increases more rapidly – in every age group

– middle aged men is a big group among one person households

– how many of them are or will be marginalised?

18/9 2009 7

One person households by age and sex in 2007

0

20000

40000

60000

80000

100000

120000

140000

160000

-19-34v

-19-34v

35-54 v 35-54 v 55-64 v 55-64 v 65-74 v 65-74 v 75 + v 75 + v

Man Woman Man Woman Man Woman Man Woman Man Woman

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One person households and housing

• 63 % of one person households live in blocks of flats• Compared to 40 % of all households, 20 % families

• 74% of one person households live in dwellings with 1-2 rooms and kitchen/kitchenette

• Conclusion: The level of housing of most one person households is very decent.

• Spacious living of one person households is not - yet - common, most of them live in single family houses, more often in the countryside

• However, a large share of elderly two persons households have good and spacious owner occupied dwellings – what about the widows after some years?

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Households by number of persons, by type of

building and by number of rooms in 2007

0

100000

200000

300000

400000

500000

600000

700000

Det

ache

dA

ttac

hed

Blo

cks

of f

lats

Det

ache

dA

ttac

hed

Blo

cks

of f

lats

D

etac

hed

Att

ache

dB

lock

s of

fla

tsD

etac

hed

Att

ache

dB

lock

s of

fla

tsD

etac

hed

Att

ache

dB

lock

s of

fla

tsD

etac

hed

Att

ache

dB

lock

s of

fla

ts1 2 3 4 5 6+

6+ rooms

5 rooms

4 rooms

3 rooms

2 rooms

1 room

18/9 2009 10

Housing tenure

• 65 % of Finnish households live in owner-occupied dwellings• (80 % of families with two parents)

• Only a half of one person households live in owner occupied dwellings.• The share has decreased, it was 60 % in 1990.

• Conclusion: 60 % of all permanently occupied rental dwellings are now occupied by one person households – and the share increases.

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Housing policy• In average 30 000 new dwellings have been produces yearly, which

is a very low level – now much less due to the economic depression.

• The social rental housing stock is the key measure to help low income households, inl. one person households

• This production has been minimal recently• Housing production in the free market concentrates on producing

large family dwellings • The rent level of small rental dwellings increases constantly• Deficit of "key persons" (buss drivers, nurses) in cities• The chances for a low income person to get a dwelling become

worse and worse

18/9 2009 12

Household by number of persons and

by tenure of housing

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

1 2 3 4 5 6+ 1 2 3 4 5 6+

Owner-occupied Rental

1990

2007

18/9 2009 13

Poverty of one person households

• 31 % of all one person households live under the EU poverty threshold (2007)

• Compared to 13,5 % of all households

• 41,5 % of one persons households under the age of 35

• 25 % of person in the age group of 35-64

• 30 % of elderly one person households (75 +)

18/9 2009 14

Poverty, age and sex of one person households

Young women who live alone are more often at the risk of poverty than men (49 % of women and 43 of men under the age of 30). Students inl.

In the age group 44-64 men who live alone are more often at the risk of poverty than women (men 29 %, women 21%)

Also in the age group 65-74: the poverty risk of men was 34 %, of women 22 %

Elderly (75+) women's poverty risk rises: 31 % of women and 16 % men. Elderly women who live alone often tell about economic difficulties

in surveys.

18/9 2009 15

One person households and allowances

• Half of the households which receive general housing allowance are one person households

• Most of the households which receive pensioners' housing allowances are one person households. Half of these are under the retirement age of 65 years – most of them live on small sickness pensions.

• 70 % of the households which receive living allowance are one person households

• These shares are increasing

18/9 2009 16

People living in care units, institutions and hostels

A large number of people live in different kinds of units which provide care and housing services, incl. elderly people. (at least 63 000 persons)

No statistics on their housing conditions – only a minority have a dwelling of their own. More and more persons have to share a room.

Cuts in the social welfare expenditures. The policy is turning more or less

to "transintitutionalisation".

Conclusion: There are tens of thousands of people who are not counted into housing population and housing statistics. Many of them could be counted homeless.

18/9 2009 17

Homeless people in Finland 1987 - 2008

0 000

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000 Homeless families

Living temporarily with friends andrelatives

In care homes, institutions etc.due to lack of housing

Living outdoors, staircases, nightshelters etc

Living in care

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Conclusions:

• There are more than a million one person households in Finland (41% of all )

• A third of them live under the poverty risk level

• Except for these people there is a large number of people who are not included

into the housing population, because they do not occupy a dwelling of there

own.

• Many of them could be counted homeless due to their housing conditions.

• Homelessness reflect these problems, it is the bottom of the continuum – OF

THE HOUSING CAREER.

• Homelessness has increased lately, in spite of special programs.

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GENERAL QUESTIONS:

WHY DOES THE NUMBER OF ONE PERSON HOUSEHOLDS

INCREASE CONSTANTLY? WHAT DOES IT TELL ABOUT THE

SOCIETY?

THE PHENOMENON IS MORE OR LESS NEGLECTED, WHY?

THE SOCIAL POLICY AND HOUSING POLICY MEASURES TO

SUPPORT THE GROWING NUMBER OF ONE PERSON HOUSEHOLDS

WITH LOW INCOME ARE INSUFFICIENT. DOES THIS BECOME A

THREAT FOR THE SOCIETY IF NOT TACKLED?

• Source: Statistics Finland