More households at risk of poverty

The number of households at risk of poverty has risen to almost 16%, it emerged today.

Latest figures show another 6.2% were in consistent poverty in 2010 – no change from a year earlier.

The Central Statistics Office (CSO) revealed the gap between rich and poor grew over 2009 and 2010 – with the average income of high earners some 5.5 times that of those in the lowest income group. The ratio was 4.3 a year earlier.

However its survey on income and living conditions in Ireland found the threshold for identifying those at risk of poverty fell by more than 10% – from €12,064 in 2009 to €10,831 in 2010.

“Although there was a decrease in the at risk of poverty threshold of more than 10%, the at risk of poverty rate at state level rose from 14.1% in 2009 to 15.8% in 2010,” the CSO said.

Fr Sean Healy, of Social Justice Ireland (SJI), said there was an alarming rise in the rates of child poverty.

The CSO said children remained the most exposed age group living consistent poverty, a rate of 8.1%, while another one in five at risk of poverty compared to one in ten of the elderly population.

For a single parent with children the figure was 20.5% – down from 35.5% a year earlier.

“There is a real strong message to Government here,” Fr Healy said.

“It needs to take a serious look at what is actually happening in the decisions it is taking because it is quite clear that even though incomes are falling across the system and poverty lines are falling, poor and vulnerable people are taking a disproportionate hit in the adjustments that is taking place.”

The CSO found the numbers of working age (18-64) who were almost on the breadline had increased from 13% in 2009 to 15.3%.

Fr Healy also raised huge concerns over the working poor.

“More than 706,000 people are at risk of poverty, up 92,000 over two years,” he said.

“The working poor make up 120,000 of the 706,000. These are people who are living in households with a job and are struggling to survive.

“It’s extremely disappointing to see the percentage of people at risk of poverty has risen while the poverty line has fallen.

“That’s totally unacceptable.”

Elsewhere figures showed 22.7% of all people were in arrears when paying for one or more items or services in 2010, with 7.2% behind on rent or mortgage payments.

The numbers jumped to almost 52% and 24% for those in consistent poverty.

Fr Healy maintained the Government made a commitment to protect the vulnerable in its memorandum of understanding for the IMF/EU bailout.

He said if Ireland can honour its commitment to the banks, it should also protect the poor.

Fr Healy said while the controversial €100 household charge would impact on the poorest homes as they would be excluded from the payment, he fears the impact of Budget 2012 will affect a detrimental effect on households.

“I suspect the situation will get worse, not better,” he added.

“The budget had a lot of indirect cuts like increases in school travel, a reduction in the back to school allowance.

“A lot of people who are working poor are the ones being hit in one form or another by decisions.

“We will have a serious poverty problem in Ireland unless Government addresses it.”