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Document the default poverty measure: absolute, before housing costs #533

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@MaxGhenis

PolicyEngine's default headline poverty measure for the UK is absolute poverty before housing costs (absolute_bhc, in_poverty_bhc). The docs don't say so. docs/outputs.md lists calculate_uk_poverty_rates without saying which of its four measures to headline, or why.

Reasons to document:

  • Relative poverty measures inequality, not poverty. policyengine-uk draws the relative line at 60% of each simulation's own median. A reform that raises the median therefore raises the line. For example, a personal allowance rise to £15,000 in 2026-27 lowers absolute child poverty but raises relative child poverty.
  • After-housing-costs measures subtract housing spending. Much of that spending is discretionary (a flat or a mansion), and international poverty statistics are computed on income before housing costs.

The docs should also state what the absolute line is. policyengine-uk uses HBAI's FYE 2011 line uprated by CPI (household.poverty.absolute_poverty_threshold_bhc). In March 2026 DWP moved its absolute reference year to FYE 2025 for years with administrative data linking, so rates on PolicyEngine's line run below DWP's current absolute figures.

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