ESRI: Relative poverty is growing

The Government’s Economic and Social Research Institute has reported growing relative poverty levels in Ireland.

The economic think tank said the number of people living on less than the average wage increased significantly in the boom years between 1994 and 2001, despite a fall in unemployment.

The main reason for the growing disparity in wealth was the fact that social welfare payments did not rise as rapidly as incomes.

The ESRI said this led to a situation where the rich got richer, while the poor got relatively poorer.

However, the ESRI also reported that consistent poverty levels – when a household cannot afford basic items like food and clothing – were falling in line with the targets contained in the Government’s anti-poverty strategy.