LifeSim Childhood: Extrapolating Intervention Effects and Public Cost Savings from Birth to Adolescence in the UK
Figures
Structure of LifeSim Childhood. Ongoing work will extend this to include risk factors up to age 14. The current list of risk factors includes early years household income, having a teenage mother, low birth weight, disability, delayed school readiness, etc. Outcomes are estimated from the age of the risk factor up to age 17, and will be extended to age 23 when the new sweep of the MCS is available. Our current outcomes include cognitive ability, socio-emotional scores, hospitalisation, exclusion from school, etc. The important adverse outcomes at age 17 we currently focus on are poor GCSE performance, psychological distress, obesity, smoking and poor health.
Simplified directed acyclic diagram (DAG) for the effect of early childhood income. The preferred model controls for everything in the “Confounders” list. We also run an “extra conservative” model which controls for additional variables about which there is room for disagreement because they are partly mediators as well as partly confounders - we call these “partly confounding mediators”. These additional control variables in the extra conservative model are: IMD, maternal MH, HH employment, grandparent’s education, and child’s disability. HH education is highest education in the household, HH disability is an indicator for any parental disability in the household, IMD is the index of multiple deprivation, maternal MH is Maternal malaise measured at 9 months, HH employment is an indicator for labour force participation in the household and the child’s disability is observed at age 3.
Percentage reduction in adverse outcomes with each intervention. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest. Outcomes are measured at MCS sweep 7 when respondents are around age 17. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week.
Estimated gain in annual average WELLBYs per child in the general population cohort. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest. Life satisfaction is based on a simple linear transformation of parent reported SDQ emotional symptoms score.
Baseline annual cost per child in each MCS sweep broken down by source. Truancy, exclusion and special education needs are not measured at age 17 so age 14 values are carried over. Conduct disorder does not include justice costs and the unit cost is lower from age 11.
Annual cost savings per child for each scenario in each MCS sweep broken down by source. The bar plots clustered at each age represent scenarios 1, 2, 3, and 4. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest. Truancy, exclusion and special education needs are not measured at age 17 so age 14 values are carried over. Conduct disorder does not include justice costs and the unit cost is lower from age 11.
Density plot of early years OECD equivalised weekly household income in the MCS split into quintiles. The means for each quintile or fifth of the distribution are £123.47, £207.40, £304.54, £419.29 and £659.05 respectively.
Baseline prevalence of adverse outcomes at age 17. Outcomes are measured at MCS sweep 7 when respondents are around age 17. In Scotland, Poor GCSEs refers to N5 exam results, psychological distress is identified using the Kessler scale, obesity is based on UK90 thresholds for sex and age, regular smoking is more than 6 cigarettes a week.
Tables
Simulated effects of scenarios for a UK birth cohort of 700,000 children
| Outcome | Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
|---|---|---|---|---|---|
| Adverse outcomes (Number of cases prevented by age 17) | |||||
| Poor GCSEs | 10,909 | 36,366 | 34,831 | 76,999 | |
| Psychological distress | 697 | 5,576 | 7,685 | 22,916 | |
| Obesity | -785 | 4,066 | 8,875 | 31,353 | |
| Regular smoker | 3,411 | 12,410 | 11,251 | 22,638 | |
| Poor health | 3,937 | 10,344 | 10,897 | 24,396 | |
| Public cost savings (Cost savings between ages 3 and 17, in millions of 2023 £s) | |||||
| Total savings | 197 | 1,017 | 1,012 | 2,298 | |
| By source | Any hospitalisation | -4 | -3 | 30 | 127 |
| Disability | 7 | 46 | 57 | 155 | |
| Conduct disorder | 26 | 78 | 84 | 178 | |
| Special education needs | 107 | 771 | 711 | 1,621 | |
| Persistent truancy | 1 | 6 | 5 | 13 | |
| Permanent exclusion | 61 | 118 | 124 | 205 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | |||||
| WELLBYs | 282,840 | 733,257 | 918,563 | 2,249,815 | |
| Value (in millions of 2023 £s) | 3,677 | 9,532 | 11,941 | 29,248 | |
| Scenario cost (Cost to increase income to quintile minimum, in millions of 2023 £s) | |||||
| Cost estimate | -2,134 | -9,717 | -20,240 | -52,020 | |
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The umber of births in the UK in 2021 was around 700,000. Costs and wellbeing values are discounted at 3.5% per year calculated at birth. Tables with baseline levels and unadjusted figures can be found in the appendix. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest. Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week. The program cost is based on minimum the amount that would need to be transferred to each household over five years to move them across fifths of the income distribution.
Simulated effects from three models of increasing the income of families with children in the poorest fifth to that of the second poorest fifth for a UK birth cohort of 700,000 children
| Outcome | Preferred Model | Extra Conservative | Unadjusted | |
|---|---|---|---|---|
| Adverse outcomes (Number of cases prevented by age 17) | ||||
| Poor GCSEs | 10,909 | 5,965 | 15,068 | |
| Psychological distress | 697 | -152 | -298 | |
| Obesity | -785 | -1,013 | 2,740 | |
| Regular smoking | 3,411 | 1,527 | 5,837 | |
| Poor Health | 3,937 | 2,499 | 5,254 | |
| Public cost savings (Cost savings between ages 3 and 17, in millions of 2023 £s) | ||||
| Total savings | 197 | -155 | 350 | |
| By source | Hospitalisation | -4 | -17 | 13 |
| Disability | 7 | -7 | 10 | |
| Conduct disorder | 26 | 15 | 43 | |
| Special education needs | 107 | -179 | 212 | |
| Truancy | 1 | 1 | 2 | |
| Exclusion | 61 | 32 | 68 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | ||||
| WELLBYs | 282,840 | 180,847 | 435,380 | |
| Value (in millions of £s) | 3,677 | 2,351 | 5,660 | |
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Number of births in the UK in 2021 was around 700,000. Costs and wellbeing values are discounted at 3.5% per year calculated at birth. Tables with baseline levels and unadjusted figures can be found in the appendix. All results are the estimated impact of income increase shift scenario 1 - Poorest to second poorest. Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week. The additional control variables in the extra conservative model are: IMD, maternal mental health, household employment, grandparent’s education, and child’s disability.
Effects of increasing income by $1000 (£676) in Lifesim compared to estimates from Cooper and Stewart (2021)
| Cooper and Stewart (2021) | LifeSim Childhood | |||||
|---|---|---|---|---|---|---|
| Paper | Outcome | Age | Effect | Outcome | Age | Effect |
| Blau (1999) (All families in US) | ||||||
| PIAT Maths | 5+ | 0.01 | NFER Progress in maths | 7 | 0.02 | |
| PIAT Reading | 5+ | 0.01 | BAS Word reading | 7 | 0.02 | |
| PPVT | 3+ | 0.01 | BAS Naming vocabulary | 3-5 | 0.01 | |
| Votruba-Drzal (2006) (All families in US) | ||||||
| PIAT Maths | 5+ | 0.02 | NFER Progress in maths | 7 | 0.02 | |
| PIAT Reading | 5+ | 0.02 | BAS Word reading | 7 | 0.02 | |
| Fernald et al. (2008) (Poor households in Mexico) | ||||||
| PPVT | 4-6 | 0.21 | BAS Naming vocabulary | 3-5 | 0.03 | |
| Milligan and Stabile (2011) (Low education households in Canada) | ||||||
| PIAT Maths | 6-10 | 0.07 | NFER Progress in maths | 7 | 0.03 | |
| Hyperactivity | 4-10 | 0.07 | SDQ Hyperactivity | 5-11 | 0.0 | |
| Conduct disorder | 4-10 | 0.10 | SDQ Conduct problems | 5-11 | 0.03 | |
| Dahl and Lochner (2012) (Poor families in US) | ||||||
| Maths | 8-14 | 0.21 | NFER Progress in maths | 7 | 0.03 | |
| Reading | 8-14 | 0.21 | BAS Word reading | 7 | 0.03 | |
| Gennetian and Miller (2002) (Poor families in Minnesota) | ||||||
| BPI Internalising | 5-13 | 0.12 | SDQ Internalising | 5-14 | 0.03 | |
| BPI Externalising | 5-13 | 0.11 | SDQ Externalising | 5-14 | 0.02 | |
| Dearing et al. (2006) (Poor households in US) | ||||||
| CBCL Internalising | 2-5 | 0.02 | SDQ Internalising | 3-5 | 0.03 | |
| CBCL Externalising | 2-5 | 0.03 | SDQ Externalising | 3-5 | 0.01 | |
| Zachrisson and Dearing (2015) (All families in Norway) | ||||||
| CBCL Internalising | 2-3 | 0.02 | SDQ Internalising | 3 | 0.01 | |
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Effect sizes are based on standard deviation increases in outcome for a $1000 increase in income. The most similar available test, based on concept measured and age at measurement, in the MCS is used for comparison with those presented in Cooper and Stewart (2021). The age range for the LifeSim estimates are based on the sweep age ratherthan actual age at time of testing. All MCS measures, except the SDQ scores, are age and ability adjusted measures that are standardised within sample. PIAT - Peabody individual achievement test, NFER - National foundation for educational research, PPVT - Peabody picture vocabulary test, BAS - British ability scales, SDQ - Strength and difficulties questionnaire, BPI - Basic personality inventory, and CBCL - Child behaviour checklist. Ages in MCS correspond to MCS sweeps and not age at observation (age 3 - sweep 2, age 5 - sweep 3 and so on until age 17 - sweep 7).
Summary of unit costs currently used in LifeSim Childhood
| Public Cost Sector | |||||||
|---|---|---|---|---|---|---|---|
| Simulated Outcomes | Ages Available in MCS | NHS | Social | Education | Criminal Justice | Outcome Costed | Annual Unit Cost(2023 £) |
| Hospital Admission | 3, 5, 7, 11, 14, 17 | X | Inpatient visit for children | 1,587 | |||
| Disability | 3, 5, 7, 11, 14, 17 | X | Per child cost to NHS | 1,008 | |||
| Conduct Disorder | 3, 5, 7, 11, 14, 17 | X | X | X | Conduct disorder | 3,092 (5 to 10) 1,963 (11 to 16) 236 (17+) | |
| Special Education Needs | 7, 11, 14 | X | EHC Plan | 25,500 | |||
| Any Truancy | 11, 14 | X | Persistent Truancy | 943 | |||
| Any Exclusion | 11, 14 | X | Alternate Provision | 21,848 | |||
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Ages in MCS correspond to MCS sweeps and not age at observation (age 3 - sweep 2, age 5 - sweep 3 and so on until age 17 - sweep 7).
Sources of unit costs currently used by LifeSim childhood
| Simulated Outcome | MCS Source | Cost Outcome | Ages costed | Cost year | Cost source |
|---|---|---|---|---|---|
| Hospital Admission | Parent admission | Hospital | 0-18 | 2020 | Average cost of a single inpatient hospitalisation for a child aged between 0 and 17 in the UK in 2003/2004 at 2019/2020 prices. (Dale et al., 2024) |
| Disability | Parent | Healthcare | 2016 | average annual cost of healthcare for a child in the UK. (Kelly et al., 2018) | |
| Conduct disorder | Parent | Conduct disorder | 5 to 18 | 2008 | Costs from 4 papers published between 2000 and 2007. (Bonin et al., 2011) |
| Special Educational Needs | Teacher | EHC Plan | 5 to 18 | 2023 | Average incremental cost to DfE of student with EHC plan in 2023 (Acton et al., 2024) |
| Persistent truancy | CM | Persistent Truancy | 11 to 12 | 2005 | Cost education welfare services in England and number of persistent truants in 2005. (Brookes et al., 2007)* |
| Permanent School Exclusion | Parent | Alternative Provision | 5 to 18 | 2018 | Survey of 101 LAs by ISOS for the Department for Education in FY 2017-2018. (Bryant et al., 2018) |
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*
also source for costs in the Greater Manchester unit cost database.
Simulation population descriptive statistics for confounders and exposure
| Characteristic | Mean/Proportion | Standard Error | |
|---|---|---|---|
| Sex | Male | 0.503 | |
| Ethnicity | White | 0.860 | |
| Mixed | 0.032 | ||
| Indian | 0.018 | ||
| Pakistani or Bangladeshi | 0.044 | ||
| Black | 0.027 | ||
| Other | 0.013 | ||
| Country | England | 0.826 | |
| Wales | 0.047 | ||
| Scotland | 0.091 | ||
| Northern Ireland | 0.037 | ||
| Region | North East | 0.037 | |
| North West | 0.103 | ||
| Yorkshire and the Humber | 0.089 | ||
| East Midlands | 0.071 | ||
| West Midlands | 0.081 | ||
| East of England | 0.088 | ||
| London | 0.130 | ||
| South East | 0.148 | ||
| South West | 0.078 | ||
| Household Highest Education | No qualifications | 0.119 | |
| NVQ level 1 | 0.081 | ||
| NVQ level 2 | 0.340 | ||
| NVQ level 3 | 0.098 | ||
| NVQ level 4 | 0.293 | ||
| NVQ level 5 | 0.037 | ||
| Household Characteristics | Disability in household | 0.029 | |
| Single parent | 0.146 | ||
| Age of mother (at birth)* | 28.723 | 0.041 | |
| Annual early years income* | 18226.072 | 74.836 |
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*
mean and standard error, all other numbers are proportion of population in category.
Simulated baseline outcome means
| Outcome | Age 3 | Age 5 | Age 7 | Age 11 | Age 14 | Age 17 |
|---|---|---|---|---|---|---|
| Poor GCSEs | 0.38 (0.045) | |||||
| Psychological distress | 0.25 (0.026) | |||||
| Obesity | 0.26 (0.046) | |||||
| Regular smoker | 0.13 (0.044) | |||||
| Poor health | 0.10 (0.036) | |||||
| Life satisfaction | 7.89 (0.125) | 7.90 (0.125) | 7.73 (0.146) | 7.41 (0.166) | 7.23 (0.173) | 7.14 (0.181) |
| Any hospitalisation | 0.22 (0.034) | 0.16 (0.033) | 0.14 (0.032) | 0.15 (0.031) | 0.15 (0.041) | 0.19 (0.043) |
| Disability | 0.05 (0.022) | 0.07 (0.024) | 0.08 (0.026) | 0.11 (0.033) | 0.14 (0.033) | 0.16 (0.046) |
| Conduct disorder | 0.09 (0.005) | 0.09 (0.005) | 0.09 (0.006) | 0.09 (0.007) | 0.08 (0.006) | |
| Special education needs | 0.05 (0.030) | 0.06 (0.028) | 0.06 (0.030) | |||
| Any truancy | 0.04 (0.031) | 0.05 (0.025) | ||||
| Any exclusion | 0.06 (0.066) | 0.09 (0.043) |
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Terms in brackets are the standard deviation of the distribution of means across simulations. Ages correspond to MCS sweeps and not age at observation (age 3 - sweep 2, age 5 - sweep 3 and so on until age 17 - sweep 7).
Simulated baseline cost means by source
| Outcome | Age 3 | Age 5 | Age 7 | Age 11 | Age 14 | Age 17 |
|---|---|---|---|---|---|---|
| Any hospitalisation | 349.49 (54.33) | 246.68 (51.84) | 215.45 (51.02) | 243.71 (49.26) | 237.38 (65.29) | 308.90 (67.54) |
| Disability | 46.67 (21.74) | 73.89 (24.25) | 84.12 (26.00) | 114.43 (33.64) | 138.30 (33.13) | 161.57 (46.54) |
| Conduct disorder | 283.86 (16.04) | 273.90 (16.19) | 209.21 (13.89) | 175.65 (13.49) | 67.39 (4.48) | |
| Special education needs | 1221.48 (758.85) | 1583.28 (697.62) | 1630.01 (770.40) | 1630.01 (770.40) | ||
| Permanent exclusion | 137.77 (148.40) | 154.34 (73.18) | 154.34 (73.18) | |||
| Persistent truancy | 7.79 (5.37) | 8.91 (4.38) | 8.91 (4.38) |
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Costs for special education needs, permanent exclusion, and persistent truancy are carried over from age 14 to age 17 as those outcomes are not measured at age 17. Terms in brackets are the standard deviation of the distribution of means across simulations. Ages correspond to MCS sweeps and not age at observation (age 3 - sweep 2, age 5 - sweep 3 and so on until age 17 - sweep 7).
Simulated undiscounted effects of scenarios for a UK birth cohort of 700,000 children
| Outcome | Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
|---|---|---|---|---|---|
| Adverse outcomes (Number of cases prevented by age 17) | |||||
| Poor GCSEs | 10,909 | 36,366 | 34,831 | 76,999 | |
| Psychological distress | 697 | 5,576 | 7,685 | 22,916 | |
| Obesity | -785 | 4,066 | 8,875 | 31,353 | |
| Regular smoker | 3,411 | 12,410 | 11,251 | 22,638 | |
| Poor health | 3,937 | 10,344 | 10,897 | 24,396 | |
| Public cost savings (Cost savings between ages 3 and 17, in millions of 2023 £s) | |||||
| Total savings | 296 | 1,574 | 1,512 | 3,394 | |
| By source | Any hospitalisation | −5 | −3 | 44 | 181 |
| Disability | 11 | 69 | 82 | 217 | |
| Conduct disorder | 36 | 109 | 117 | 248 | |
| Special education needs | 155 | 1,197 | 1,062 | 2,404 | |
| Persistent truancy | 2 | 10 | 9 | 21 | |
| Permanent exclusion | 97 | 192 | 198 | 324 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | |||||
| WELLBYs | 398,629 | 1,042,533 | 1,326,571 | 3,293,455 | |
| Value (in millions of 2023 £s) | 5,182 | 13,553 | 17,245 | 42,815 | |
| Scenario cost (Cost to increase income to quintile minimum, in millions of 2023 £s) | |||||
| Cost estimate | −2,364 | −10,760 | −22,414 | −57,607 | |
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Number of births in the UK in 2021 was around 700,000. Tables with baseline levels and unadjusted figures can be found in the online appendix. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week.
Simulated effects of scenarios for a UK birth cohort of 700,000 children with SDQ internalising as the wellbeing measure
| Outcome | Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
|---|---|---|---|---|---|
| Adverse outcomes (Number of cases prevented by age 17) | |||||
| Poor GCSEs | 10,909 | 36,366 | 34,831 | 76,999 | |
| Psychological distress | 697 | 5,576 | 7,685 | 22,916 | |
| Obesity | −785 | 4,066 | 8,875 | 31,353 | |
| Regular smoker | 3,411 | 12,410 | 11,251 | 22,638 | |
| Poor health | 3,937 | 10,344 | 10,897 | 24,396 | |
| Public cost savings (Cost savings between ages 3 and 17, in millions of 2023 £s) | |||||
| Total savings | 197 | 1,017 | 1,012 | 2,298 | |
| By source | Any hospitalisation | −4 | −3 | 30 | 127 |
| Disability | 7 | 46 | 57 | 155 | |
| Conduct disorder | 26 | 78 | 84 | 178 | |
| Special education needs | 107 | 771 | 711 | 1,621 | |
| Persistent truancy | 1 | 6 | 5 | 13 | |
| Permanent exclusion | 61 | 118 | 124 | 205 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | |||||
| WELLBYs | 197,879 | 629,453 | 678,858 | 1,656,902 | |
| Value (in millions of 2023 £s) | 2,572 | 8,183 | 8,825 | 21,540 | |
| Scenario cost (Cost to increase income to quintile minimum, in millions of 2023 £s) | |||||
| Cost estimate | −2,134 | −9,717 | −20,240 | −52,020 | |
-
Number of births in the UK in 2021 was around 700,000. Costs and wellbeing values are discounted at 3.5% per year calculated at birth. Tables with baseline levels and unadjusted figures can be found in the online appendix. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week.
Simulated effect size of scenarios per child in birth cohort
| Outcome | Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
|---|---|---|---|---|---|
| Adverse outcomes (Reduction in probability by age 17) | |||||
| Poor GCSEs | 0.02 | 0.05 | 0.05 | 0.11 | |
| Psychological distress | 0.0 | 0.01 | 0.01 | 0.03 | |
| Obesity | 0.0 | 0.01 | 0.01 | 0.04 | |
| Regular smoker | 0.0 | 0.02 | 0.02 | 0.03 | |
| Poor health | 0.01 | 0.01 | 0.02 | 0.03 | |
| Public cost savings (Cost savings between ages 3 and 17, in 2023 £s) | |||||
| Total savings | 281 | 1,452 | 1,445 | 3,283 | |
| By source | Any hospitalisation | −6 | −4 | 43 | 181 |
| Disability | 10 | 65 | 81 | 221 | |
| Conduct disorder | 36 | 111 | 120 | 254 | |
| Special education needs | 153 | 1,102 | 1,015 | 2,316 | |
| Persistent truancy | 2 | 9 | 8 | 19 | |
| Permanent exclusion | 86 | 169 | 178 | 292 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | |||||
| WELLBYs | 0.4 | 1.05 | 1.31 | 3.21 | |
| Value (in 2023 £s) | 5,253 | 13,618 | 17,059 | 41,782 | |
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Costs and wellbeing values are discounted at 3.5% per year calculated at birth. Tables with baseline levels and unadjusted figures can be found in the online appendix. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week.
Simulated effect size of scenarios per recipient in birth cohort
| Outcome | Scenario 1 | Scenario 2 | Scenario 3 | Scenario 4 | |
|---|---|---|---|---|---|
| Adverse outcomes (Reduction in probability by age 17) | |||||
| Poor GCSEs | 0.08 | 0.13 | 0.26 | 0.14 | |
| Psychological distress | 0.01 | 0.02 | 0.06 | 0.04 | |
| Obesity | −0.01 | 0.02 | 0.07 | 0.06 | |
| Regular smoker | 0.03 | 0.05 | 0.08 | 0.04 | |
| Poor health | 0.03 | 0.04 | 0.08 | 0.04 | |
| Public cost savings (Cost savings between ages 3 and 17, in 2023 £s) | |||||
| Total savings | 1,482 | 3,762 | 7,618 | 4,128 | |
| By source | Any hospitalisation | −33 | −10 | 229 | 227 |
| Disability | 53 | 169 | 429 | 278 | |
| Conduct disorder | 192 | 288 | 633 | 320 | |
| Special education needs | 806 | 2,854 | 5,350 | 2,912 | |
| Persistent truancy | 8 | 22 | 42 | 24 | |
| Permanent exclusion | 455 | 438 | 936 | 367 | |
| Wellbeing improvement (WELLBYs gained between ages 3 and 17) | |||||
| WELLBYs | 2.13 | 2.71 | 6.92 | 4.04 | |
| Value (in 2023 £s) | 27,682 | 35,274 | 89,903 | 52,537 | |
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Costs and wellbeing values are discounted at 3.5% per year calculated at birth. Tables with baseline levels and unadjusted figures can be found in the online appendix. Income increase scenarios - Scenario 1 - Poorest to second poorest, Scenario 2 - Poorest two to middle, Scenario 3 - Poorest to richest, Scenario 4 - All to richest Negative values in the table are increases in cases or public costs. Poor GCSEs also includes N5 results for Scotland, Psychological distress is identified using the Kessler scale, Obesity is based on UK90 thresholds for sex and age, Regular smoking is more than 6 cigarettes a week.
Effects of increasing income by $1000 (£676) in Cooper and Stewart (2021) compared to three LifeSim models
| Cooper and Stewart (2021) | LifeSim Childhood | |||||
|---|---|---|---|---|---|---|
| Paper | Outcome | Effect | Outcome | Preferred Model | Extra Conservative | Unadjusted |
| Blau (1999) (All families in US) | ||||||
| PIAT Maths | 0.01 | NFER Progress in maths | 0.02 | 0.01 | 0.02 | |
| PIAT Reading | 0.01 | BAS Word reading | 0.02 | 0.01 | 0.03 | |
| PPVT | 0.01 | BAS Naming vocabulary | 0.01 | 0.01 | 0.03 | |
| Votruba-Drzal (2006) (All families in US) | ||||||
| PIAT Maths | 0.02 | NFER Progress in maths | 0.02 | 0.01 | 0.02 | |
| PIAT Reading | 0.02 | BAS Word reading | 0.02 | 0.01 | 0.03 | |
| Fernald et al. (2008) (Poor households in Mexico) | ||||||
| PPVT | 0.21 | BAS Naming vocabulary | 0.03 | 0.02 | 0.05 | |
| Milligan and Stabile (2011) (Low education households in Canada) | ||||||
| PIAT Maths | 0.07 | NFER Progress in maths | 0.03 | 0.03 | 0.05 | |
| Hyperactivity | 0.07 | SDQ Hyperactivity | 0.0 | 0.0 | 0.0 | |
| Conduct disorder | 0.10 | SDQ Conduct problems | 0.03 | 0.02 | 0.05 | |
| Dahl and Lochner (2012) (Poor families in US) | ||||||
| Maths | 0.21 | NFER Progress in maths | 0.03 | 0.03 | 0.05 | |
| Reading | 0.21 | BAS Word reading | 0.03 | 0.03 | 0.05 | |
| Gennetian and Miller (2002) (Poor families in Minnesota) | ||||||
| BPI Internalising | 0.12 | SDQ Internalising | 0.03 | 0.02 | 0.05 | |
| BPI Externalising | 0.11 | SDQ Externalising | 0.02 | 0.01 | 0.04 | |
| Dearing et al. (2006) (Poor households in US) | ||||||
| CBCL Internalising | 0.02 | SDQ Internalising | 0.03 | 0.02 | 0.05 | |
| CBCL Externalising | 0.03 | SDQ Externalising | 0.01 | 0.01 | 0.03 | |
| Zachrisson and Dearing (2015) (All families in Norway) | ||||||
| CBCL Internalising | 0.02 | SDQ Internalising | 0.01 | 0.01 | 0.02 | |
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Effect sizes are based on standard deviation increases in outcome for a $1000 increase in income. The most similar available test, based on concept measured and age at measurement, in the MCS is used for comparison with those presented in Cooper and Stewart (2021). The age range for the LifeSim estimates are based on the sweep age rather than actual age at time of testing. All MCS measures, except the SDQ scores, are age and ability adjusted measures that are standardised within sample. PIAT - Peabody individual achievement test, NFER - National foundation for educational research, PPVT - Peabody picture vocabulary test, BAS - British ability scales, SDQ - Strength and difficulties questionnaire, BPI - Basic personality inventory, and CBCL - Child behaviour checklist. Ages in MCS correspond to MCS sweeps and not age at observation (age 3 - sweep 2, age 5 - sweep 3 and so on until age 17 - sweep 7).
Coefficients - marginal effects on life satisfaction (0-10)
| Life satisfaction age 17 | |||
|---|---|---|---|
| Intercept | 8.456 (0.114) | Mixed | 0.041 (0.085) |
| Poorest fifth | -0.65 (0.058) | Indian | 0.172 (0.096) |
| Second poorest fifth | -0.451 (0.048) | Pakistani or Bangladeshi | 0.204 (0.07) |
| Middle fifth | -0.273 (0.042) | Black | 0.158 (0.092) |
| Second richest fifth | -0.198 (0.039) | Other | 0.118 (0.132) |
| Wales | -0.033 (0.065) | Smoked during pregnancy | -0.198 (0.034) |
| Scotland | 0.014 (0.062) | Age of mother at birth | 0.004 (0.003) |
| Northern Ireland | 0.219 (0.071) | No qualifications | -0.237 (0.07) |
| North East | 0 (0.08) | NVQ level 1 | -0.233 (0.072) |
| North West | 0.007 (0.058) | NVQ level 2 | -0.103 (0.057) |
| Yorkshire and the Humber | -0.051 (0.065) | NVQ level 3 | -0.108 (0.064) |
| East Midlands | -0.009 (0.067) | NVQ level 4 | -0.02 (0.053) |
| West Midlands | -0.125 (0.059) | Disability in household | -0.516 (0.082) |
| East of England | -0.107 (0.057) | Single parent | -0.056 (0.046) |
| South East | -0.048 (0.052) | ||
| South West | -0.044 (0.063) |
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Life satisfaction is a linear transformation of SDQ emotional symptoms scale. The estimates presented are from an OLS regressions using the preferred specification on Life satisfaction on a 0 to 10 scale.
Marginal effect on life satisfaction of a one unit change in log household income in early childhood
| Dependent variable | Age 17 | Age 14 | Age 11 | |||
|---|---|---|---|---|---|---|
| Coef (s.e.) | Ratio | Coef (s.e.) | Ratio | Coef (s.e.) | Ratio | |
| Parent reported SDQ emotional symptoms | 0.39 (0.05) | 1 | 0.40 (0.04) | 1 | 0.34 (0.04) | 1 |
| Parent reported SDQ internalising score | 0.50 (0.05) | 1.28 | ||||
| Self reported SDQ emotional symptoms | 0.32 (0.07) | 0.82 | ||||
| Self reported SWEMWBS | 0.21 (0.04) | 0.54 | ||||
| Self reported LS1–7 | 0.23 (0.04) | 0.57 | 0.18 (0.04) | 0.53 | ||
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Coefficients and standard errors are calculated using the confounder list from the preferred model. Ratio is the ratio of the coefficient of our main wellbeing to other available measures in the MCS.
Effect of Scenario 1 on early childhood outcomes based on income at 9 months and incomes 9-months to age 5
| Outcome | Income Ages 0 - 5 | Income at 9 months |
|---|---|---|
| Hospitalisation Age 3 | 0.01 (0.02) | 0.01 (0.02) |
| Hospitalisation Age 5 | 0.01 (0.02) | 0.01 (0.02) |
| Disability Age 3 | 0.00 (0.02) | 0.01 (0.02) |
| Disability Age 5 | 0.00 (0.02) | 0.01 (0.02) |
| Parent reported SDQ emotional symptoms Age 3 | -0.28 (0.10) | -0.23 (0.10) |
| Parent reported SDQ emotional symptoms Age 5 | -0.20 (0.14) | -0.09 (0.13) |
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Coefficients and standard errors are calculated using the confounder list from the preferred model.
Data and code availability
The LifeSim Childhood model code is open-source, and distributed freely through GitHub (https://github.com/LifeSimUK/LifeSim_childhood). This study used secondary data from the Millennium Cohort Study (MCS) sweeps 1-7. MCS data are available to registered researchers from the UK Data Service (SN 2000031) under standard End User Licence (https://datacatalogue.ukdataservice.ac.uk/series/series/2000031?id=2000031#access-data). Due to the incorporation of MCS-derived variables, the LifeSim simulated individual-level outputs cannot be made publicly available. However, everything needed to replicate our results is publicly available, including the MCS source data, multiple imputation code, and simulation code.