At the lower poverty line, income from the OAP and CSG is sufficient to lift even some of the very' poorest households (in quintile 1) out of poverty. At the higher poverty line, the modest size of the social grants coupled with the dilution effect of sharing this across large households means that the impact is less marked. Not only do the grants have a significant impact on poverty (at the lower poverty line) but they also make a significant impact on inequality.