Gap between rich and poor ‘one of the widest in EU’

IRELAND has one of the widest gaps between rich and poor in the EU, according to a report published yesterday by the European Commission.

The director of a leading anti-poverty group, the CORI Justice Commission, called for immediate action to redress the imbalance after the Social Situation in the European Union report showed 21% of the Irish population is deemed to be poor, compared to an EU average of just 15%.

CORI director Fr Sean Healy urged the Government last night to take action and prepare a budget that will bridge the gap between the wealthy and those who are just surviving.

“It confirms what we have known to be the case for a number of years.

“We have argued that we have one of the largest gaps between rich and poor in the EU and one of the lowest expenditures on social provision, which includes health, education, social welfare and social housing,” Fr Healy said.

Ireland, according to the study, is one of six member states which spends less than 2% of GDP on assistance and incentives for the unemployed.

“The serious defects in Ireland’s social provision can be clearly seen in our growing risk of poverty, because of our unequal income distribution.

“Our widening gap between rich and poor and our underfunding of health and education is in contrast to Ireland’s continued economic growth and increased earnings per capita,” Fr Healy said.

He added for the first time country’s leaders had the resources to tackle the issue and reduce the gap as other developed countries had done.

“The test of whether or not the Government will do this will come in the next budget. I’m urging the Government to take on board this latest report,” Fr Healy said.

The report, which measured relative poverty by counting those on less than 60% of the average national income, also found the gap between rich and poor was just as large in Britain.

It also highlighted that this country is one of six in the EU where pensions contribute least to reducing the proportion of people at risk of poverty.

Overall, nearly one-in-three people in the EU earn less than 75% of its average income per head.