Attendance awards are not a new thing and not Govian.
I would admit they have escalated out of all proportion from being a photocopied certificate to being a week's all inclusive in the Caribbean, but 100% attendance certificates have been around for decades.
I once worked for a company that gave a bonus to anyone who took no leave (other than holiday) at all during a year. The only exceptions were jury service and compassionate leave for death of a spouse/parent/sibling. The company's attitude was that you were paid wages for sick leave, the bonus was there to recognise attendance.
Naturally, this was pre-Equalities Act days. It takes many organisations many years to catch up with Equalities Legislation, and schools are neither the best nor the worst at this. Organisations often need a gentle or not-so-gentle nudge to move them towards more Equitable policies in general.
Schools unknowingly break the Equalities Act all the time. For example, our school will only allow full-timers to hold any management posts. This indirectly discriminates against people such as myself who, through disability, can only cope with part-time work. It also could be argued that it discriminates against women.
I am all in favour, and would encourage anyone with disabled children to point issues out to schools. I am also in favour of schools being required to carry out an Equalities Impact Assessment on any rewardssystem.
Prolonged non-attendance at school over long periods can be an indicator of other, very serious, issues - as in the Ishaq case. A 100% attendance certificate is never going to help here.
OP, to answer your question - there is a direct link between attendance and attainment. However, I have failed to find any evidence that awards for 100% attendance do anything to improve attendance itself (as it didn't with my former employer). It is so hard to achieve, for so many reasons, that it becomes unattainable to the majority and thus 'not worth the bother'.
There is, however, a growing body of evidence that employee attendance bonuses are, in fact, counter-productive and that's why most companies are scrapping them in favour of other, better, ways of managing absence.
As in everything else, schools are likely to be at least a decade behind private sector organisations before they cotton on.