True wealth of Irish falls 10% below the EU average

The true wealth of Irish citizens is a full 10% below the European Union average showing the results of austerity on the population as a whole.

The figures showing the actual individual consumption per person across the EU are a measure of the material welfare of households, and a more accurate measurement than GDP of how ordinary citizens are faring.

Ireland is the EU’s third most wealthy country when GDP is measured, registering at 130% above the EU average, taking into account the effect of multi-nationals on the economy.

But the EU’s statistics agency, Eurostat, published for the first time ‘actual individual consumption’ (AIC) figures in purchasing power standards which allow an accurate comparison between countries based on what a euro can buy in each country.

The highest level of AIC was Luxembourg at more than 35% above the EU average, followed by Germany and Austria at around 20% above the average.

Ireland was 10% below the average with Cyprus and Spain, countries that had also suffered from the euro and banking crisis.

The AIC level has deteriorated since 2011 when Ireland at 97, was closer to the average of 100.

This fell to 94 in 2012 and remained at this figure last year, 2013.

The countries above average were Luxembourg, Germany, Austria, Denmark, Finland, Sweden, United Kingdom, Netherlands, Belgium, France and Italy.

All, except Italy, had higher than average GDP figures also.