Relationship between income and life expectancy by neighbourhood

Money and resources can affect health in a number of ways. People need a certain level of income to be able to afford the basics for a healthy life. Higher incomes enable people to have more choice, and this often means they have access to healthier options.

This chart shows the relationship between life expectancy and equivalised household income for men and women after housing costs, comparing these across small local areas in England. Household income after housing costs is the most accurate measurement to reflect the resources available to households. For lower-income families in particular, the minimum cost of housing accounts for an unavoidably high proportion of income.

The chart shows a strong relationship between life expectancy and income. As average income rises, so does life expectancy. A similar relationship is seen when other measures of income are used (such as income before housing costs).

While income is an important predictor of how long people live, life expectancy can be influenced by a range of other factors such as housing, job quality and population composition.

• Life expectancy is defined as the number of years a person of a specific age in a specific area in a specific time period can be expected to live, if mortality rates for that area and time period remain constant. Life expectancy for MSOAs is calculated for a period of five consecutive years, due to the small population numbers in those areas and in order to reduce the effect that seasonal events (such as the flu) might have on the number of people dying.
• Income is defined as monthly net equivalised household income before housing costs. Equivalisation is a method that adjusts income to account for differences in household size and composition.
• Neighbourhoods are defined as Middle layer Super Output Areas (MSOAs), based on the 2011 Census. MSOAs are geographical areas that comprise 2,000–6,000 households (5,000–15,000 people).

Source: Health Foundation analysis of Office for National Statistics, Income Estimates for Small Areas, England & Wales, 2019/20; Life expectancy at birth and age 65 by sex for Middle layer Super Output Areas (MSOAs), England,  2016 to 2020