More say they are poor

The number of Maltese saying they are poor or are at risk of becoming poor is increasing, according to the latest data published in Brussels yesterday.

The number of people earning less than 60 per cent of the national average income is on the rise

According to a survey conducted by Eurostat in 2010, 15.5 per cent of the Maltese population were at risk of poverty, meaning that they were living in households earning less than €6,275 annually, equivalent to 60 per cent of the median national income. This represents an increase of 0.2 per cent over 2009.

The calculated income includes all social benefits received by such households. If state assistance were to be removed, the number of people at risk of poverty in Malta would surge to a staggering 22.9 per cent.

More worrying are the statistics related to people thought to be “severely materially de-prived”. In 2010, those in this category increased by one per cent over 2009, standing at 5.7 per cent.

Eurostat defines severe material deprivation as representing the proportion of people who cannot afford at least four of nine items that include mortgage or rent payments, utility bills or hire purchase instalments; one week-long annual holiday away from home; a meal with meat, chicken, fish (or vegetarian equivalent) every second day; unexpected financial expenses; a telephone (including mobile phone); a colour TV set; a washing machine; a car and heating to keep the home adequately warm.

Although these figures will shatter the perception that Malta has no poor people, the situation here is still better than the EU average.

According to Eurostat, 16.4 per cent of the EU’s population were at risk of poverty in 2010, up 0.1 per cent over the previous year. Where it comes to the most worse off (severely materially deprived), the EU average is more than two per cent above Malta’s and stood at 8.1 per cent in 2010.

Although all member states have poor people, there are variations in rates and incomes.

The poorest population rate is found in Latvia with a total 21.3 per cent at risk of poverty. The Czech Republic has the lowest rate with only nine per cent in this category.

The definition of poverty also varies. For example, while in Luxembourg those whose household earns less than €19,400 are considered to be at risk of poverty, in Romania the poverty threshold is €1,222 annually.