Poverty in the EU declined in the last decade, but disparities persist among nations

A recent study published in PLOS One reveals that poverty in the European Union decreased between 2015 and 2023, despite ongoing disparities among member states. The research, conducted by Silvia Megyesiova and Cecilia Olexova from Bratislava University of Economics and Business, analyzed ten metrics of poverty according to the United Nations' Sustainable Development Goals.

These metrics included the percentage of people at risk of monetary poverty after social transfers, housing cost overburden rates, and severe material and social deprivation rates.

Overall, poverty rates among EU citizens fell from 17.4% in 2015 to 16.2% in 2023, while severe material and social deprivation rates dropped from 9.7% to 6.8%. Individual countries also experienced similar declines, with Spain, Lithuania, Latvia, and Romania initially having poverty rates above 22%. By 2023, only Estonia and Latvia remained in this category, with Romania showing the most significant improvement, with the percentage of people at risk of monetary poverty falling from 25.4% to 21.1%.

However, the study highlights that disparities persist among EU member states. From 2021 to 2023, Bulgaria, Romania, Greece, and Latvia formed the most vulnerable cluster, while several countries in Northern and Western Europe demonstrated more stable poverty trends. The researchers emphasize that poverty and social exclusion cannot be fully understood through economic prosperity alone.

They argue that considering additional factors such as material deprivation, housing conditions, and digital skills provides a more comprehensive view of social vulnerability across the European Union.

Despite a general decline in poverty, substantial disparities between EU member states remained, particularly between Bulgaria, Romania, Greece, and Latvia in the final period (2021–2023). The findings indicate that multidimensional poverty profiles evolve over time and are not confined to traditional geographical divisions within Europe. The authors conclude that sustainable policies tailored to each country's unique needs are essential to increase resilience and ultimately eradicate poverty.