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Dublin: 15 °C Sunday 19 May, 2013

9 things we learned about poverty in Ireland this week

A major study released by the CSO this week gave facts and figures about income in Ireland today. This is what it found.

File photo
File photo
Image: Empty wallet photo via Shutterstock

THIS WEEK THE annual Survey of Income and Living Conditions (SILC) was published by the Central Statistics Office.

SILC is a mine of information for anyone interested in what life is like in Ireland right now. It provides details about how many people are managing to get by just above the breadline and how many have already dropped below it. It details what kind of things people are having trouble affording –  furniture topped the list this year – and who is most likely to be living in poverty.

The figures are reached by interviewing more than 11,000 individuals around the country and as well as providing evidence-based data on household income for Ireland, it also provides information about key poverty indicators.

Here are ten of the most interesting facts and figures from the study (which you can read here in pdf).

1. Without social welfare payments, half the country would be at risk of poverty

One of the most striking findings of the study was how social welfare payments are the only thing keeping a huge number of people out of poverty in Ireland. Without social welfare, 50.7 per cent of the population would be at risk of poverty – a figure which has jumped more than 10 per cent over the past decade. Instead, the risk of poverty rate is at 16 per cent – still high, but not as dramatic as it would be without social transfers. Minister for Social Protection Joan Burton said the SILC figures were a testimony to the importance of welfare in protecting the most vulnerable.

2. The number of people earning less than €11k a year has grown

SILC found that the the number of people earning less than €11,000 a year grew in 2011. This figure is significant: it is 60 per cent of the median income, and it is used to measure the number of people who are at risk of poverty in Ireland. Ireland’s figure grew from 14.7 per cent to 16 per cent in just one year, which works out at 733,000 people according to Social Justice Ireland. This means almost three quarters of a million people are living very close to the breadline.

3. Poverty has increased as the recession has dug in

12/4/2012. Dublin City Scenes

In 2008, Ireland’s consistent poverty rate was 4.2 per cent. In 2011, it was 6.9 per cent. The figure has risen every year since the recession began, although the CSO points out that the slight increase for 2011 is not a statistically significant change.  Being in consistent poverty means that a person has an income of 60 per cent below the median income, which translates as an income of €10,889 or less, and also lives in a household which lacks two or more basic necessities – such as being able to heat a home or afford a waterproof coat –  from a list of eleven.

4. Despite this, income inequality actually dropped slightly in Ireland

Given the previous figures, this one may be unexpected. Despite the increase in poverty in Ireland, the distribution of income hasn’t changed massively – in other words, rich people, poor people and the people in between still have pretty much the same share of income as they did in previous years. In fact, income inequality went down slightly in 2011. The Gini coefficient which measures inequality decreased ever so slightly in 2011, and Ireland’s Gini figure is very close to the EU average. This matters because inequality has been shown to have an effect on everything from happiness to life expectancy in a country.

5. People with third-level degrees have the most money

3/8/2012 LUAS BXD Line BX and Line D Extension. Pi

Unsurprisingly, SILC found that people with degrees have the highest average income at €33,244. At the opposite end of the scale, people renting cheap accommodation or rent free have the lowest income of all the categories at just €13,831 and are most at risk of poverty.

6. One quarter of the population is living in deprivation

The CSO found that almost exactly one quarter of people in Ireland don’t have the money to afford at least two goods and services which are generally considered the norm for other people in society, putting them into the category of deprived. The figure has almost doubled in just five years after hitting a low of just 11.8 per cent in 2007.  The acknowledged definition of deprivation means that someone can’t afford basics such as being able to heat their home, buy presents for family or friends, have a warm coat or buy meat.

7. Buying furniture is not an option for a lot of people anymore

shutterstock_54535456

When it comes to not being able to afford the basics, the one that tops the poll is furniture: one in five people said they didn’t have the money to replace worn-out furniture. The same amount of people were unable to afford a morning or evening out, while one in eight people were unable to afford heating at some stage in the past year.

8.  The average amount of disposable income in Ireland in 2011 was €21,440

The survey worked out the gross income per household, subtracted tax and social insurance contributions, and then divided it to get the mean amount of disposable income per person. This figure doesn’t take into account other payments which have to be made – household bills, mortgage payments, food, transport, the cost of children, for example –  but gives an indication of how much is left after statutory payments have been made.

9. One in seven of people at risk of poverty has a job

Social Justice Ireland noted that 14.2 per cent of people who are at risk of poverty (i.e. earning less than €11,000) has a job. Men saw the biggest increase with their risk of poverty rising two percentage points between 2010 and 2011, followed by students, people whose highest level of education attainment was from secondary school, and people living in households where no-one was at work.

(Images: Sam Boal/Mark Stedman/Photocall Ireland, Furniture photo via Shutterstock)

Read: Here’s how much disposable income the average person in Ireland has >

Read: Rising food poverty hinders students’ ability to learn >

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Comments (38 Comments)

  • Sad reflection of our country and our times. Nothing more to say.

    Reply
    • It seems I’m not as poor as I thought. The biggest mystery to me is that if people are really this badly off, then why haven’t they got rid of the politicians who are causing this?

      Reply
    • it doesn’t really matter who gets into ‘power’, – they are all the same.
      Fine Gael blame Fianna Fáil, labour aren’t even worth a Capital letter, if Fianna Fáil get back in, they will merely continue where the present f**kers left off, & blame them.
      Meanwhile, they’re all bosom buddies in the back bar, laughing at the idiots who actually trusted them, – us…
      Sack them all, – no pensions, no golden handshakes.
      The secretaries & sub-secretaries do all the real work anyway, & they could probably do it a lot more efficiently without interference from the ex NT’s, unqualified chancers, etc. who are gorging themselves at the trough…

      Reply
  • How can the head of this country know how bad things are and still keep taking his massive wage for him and his friends . And do nothing to help his people is beyond me . . Surely any head of any family would bend over backwards to help his family . But seems to me the only bending our glorious leader dose is bending over for Europe

    Reply
  • Having read this article a sense of despair comes to the fore. We are all in the one boat now. Remember your parents saying (when we were your age…………). Well it looks like many more generations are going to add their spin on this one from Oranges for christmas to growing our own food.

    Reply
  • we need a gov. for the people not against the people which is what we.re saddled with at the present
    austerity obviously does not apply to that shower of ##### no cuts to their salaries you notice

    Reply
  • Hope the Government are very proud, with more austerity planned for the next two years, it’s going to be very tough, but being Irish we will adopt the attitude ‘What can we do about it’ and get on with it

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    • So what exactly can we do about it Anne? There’s a lot of moaning on these comments about the Irish people sitting back and taking austerity and damning our government that was voted into power by none other than the very people moaning, but comments suggesting any positive and realistic action we can take are few and far between.

      It’s all too easy to jump on the populist anti government bandwagon but it’s not so easy to come up with the solutions.

      Reply
    • Protest in huge numbers!! Sitting back with that attitude won’t achieve jack sh!t. We can then say we tried, and the government will be reluctant to introduce more taxes and increases! We have ways of protesting without even lifting a finger – what is the main tool the government use to dictate to us? TV and radio. If we collectively stopped viewing/listening to any Irish channel for a day or for a prime time period 6-10pm, and threaten that this will be repeated if necessary, damaging their spin machine.

      Reply
    • That’s what i like to read Rob. Actual suggestions. I’m honestly sick of people moaning over these comments sections. A bit of positivity wouldn’t hurt. We might not have much but there is strength in numbers.

      Reply
    • Have not watched any Irish channel for 3 years now , feel much better ..

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    • Julie 16/02/13 #

      Tralee says no, Ballyhea says no, rathoath says no, lots more town starting to join in so people are mobilising. If your town doesn’t have one organised start one.

      Reply
    • Julie 16/02/13 #

      Yes a boycott on Irish media especially Irish print media, we are being spoon fed crap and we are soaking it all up and believing it. If you want a good news channel go to RT- max keiser, breaking the set. Brilliant truthful news. Can I just add a TD in the Seanad for SF has asked the government to discuss the drastic increase in poverty and he has not be heard.

      Reply
    • Can I presume so Rob that you are in the process of organising and promoting such a protest? If you believe in it so much then do something about it! Very easy to make a comment like that then sit back and give out that people aren’t protesting.

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    • I do my fair share. Its important to encourage and give other options. Join the property tax campaign. I and alot more (but not enough) have completely snubbed Irish tv and radio. But only if numbers grow will it send an effective message. It’s unfortunate we have to do this but it’s unacceptable that we tolerate constant lies and pushing people to the limit.

      Reply
    • Why on earth would this comment be red arrowed. Oh I know, those who red arrowed most likely blame the individual for their poverty. Either that or you actually got out and marched or stamped your feet and feel the need to shout about it.

      Reply
    • form a new Party – whats there is of no use to people .
      That takes effort and forgetting small differnces – but FF/FG /Lab are of no use to Irish people . If so many are in abd way – a People Party should win in a landslide – and tell Troika to get lost . We have had enough neo – liberal crap . austerity does not work – cannot work [ except for Rich ] so why is still going on ??.
      any deals done with oil companies etc can be rnegotiated – .
      And if one wants real info – there are plenty sources AJE , Znet , Democracy now TV . Keiser Report , Project censored ., Noam chomsky , ——–endless resouces for what is really happening …
      Protests – the govt does not give the proverbail about protests- unless they are Big . .
      the Icelanders threw rocks at their parliament – why have we not followed Nordic countries – instead of USA -[ a country that is broke ] with its failed Neo Liberal economics – austerity for all – except the RICH .

      Reply
  • The moral of the story is you should go to college. We should encourage our kids to go too.!
    It obviously gives u the best chance in life to be educated. Recession or not

    Reply
    • Julie 16/02/13 #

      Back when my mom was at the age to go to college and lots of other people I know, was because it was too expensive and only the rich could afford to send their children to college. In a few years it will be back like that so if you love your children get out and protest ! Tralee says NO, BallyHea say No and many more if your town doesn’t have one start one

      Reply
  • I know the study says the gap between have and have not has not change bit but i think it has. I recon a good indicator is the car park around any government offices. You see most cars are 11 reg onward where if you are in a car park of a private factory/business you mostly see early naughies car reg.

    Reply
  • Angela,s Ashe,s spring,s to mind

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  • It was amazing to see the numbers protesting in Dublin last weekend. My friend runs a up market restaurant in town and said they were jammed packed with people who were at the protests that day. Average spend 50euro per person. Highest daily takings in 5 years she said. She said they cleared out an area in the basement diners where could leave their placards while having lunch or early bird dinners.

    Reply
    • Hi Tom Maguire
      you wrote that the average spend was €50 per person eating in your friends market restaurant. Is this the right price of eating there or is this a mistake? just curious

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    • That was average take per customer. I guess it depends what they had.. but majority had steaks etc. The 50 euro average is for the whole day so I would imagine lunches are cheaper. I not in the restaurant business but she said the day of the protests was a bonanza.

      Reply
    • Julie 16/02/13 #

      are we meant to just take your word for it Tom, I go to these protests a lot, you have a mix of people at them, maybe some were able to spend 50 , some people don’t have to be stone broke to come out and march against government and stand with the people it is crippling. But you must rem there was thousands at that protests I’m sure your friends restaurant couldn’t hold more than a 500 to 1000 therefore you cannot put everyone into the bracket of the few that went to your friends restaurant. Delighted for your friend I know how great them extra boosts can be. Your comment severs no purpose only imply that people out protesting, have loads of money to spare. Read the article above our below this, 9 things to know about poverty.

      Reply
    • I only passing on what I was told. Dont shoot the messenger.

      Reply
    • Julie 16/02/13 #

      Didn’t mean it to come across like that, I just know so many people that have to really try scrip to make it to some of these protest have seen lots of people with sandwiches made etc. of you believe what your friend is implying that a lot of protesters are flushed with cash and can buy €50 steaks, why do you think they are protesting.

      Reply
    • Which restaurant was it?

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    • so the march got good revenue for the goverment. 50 quid is a lot of money i would expect 3 meals for that. but i bring my own. i think a day during the week for marches is better. and agree with julie boycotte is the way forward but we need more than a few people. we have the power and remember united we stand divided we fall.

      Reply
    • I believe it. These are the hard up people who can’t pay their property tax but can eat in restaurants and go abroad for hen nights. It’s laughable.

      Reply
    • Julie 16/02/13 #

      Your comment is laughable. Poverty has increased in Ireland, maybe it is just easier for you to ignore it. 272,000 children living on poverty in Ireland. Is that laughable?

      Reply
  • FDL_ 16/02/13 #

    Point number 1 is shocking.

    Reply
  • Ive a B.A and I aint on no 33grand a year. I cant even get an acknowledment when I send CVs.

    Companies are using this “recession” as an added excuse to be c***s.

    Reply
  • I guess people have to eat but it seems strange so many ate there considering it aint cheap! I ate there with friends at xmas and it was approx 90 euro per person, including two bottles of wine but not additional drinks. Nice for a treat! I guess the protesters still have a few bob.

    Reply

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