The National Statistics Office has just published a report on people “at-risk-of-poverty” (a fairly elastic phrase meaning income below the poverty threshold and people materially deprived) based on statistics for 2015. It presents a mixed picture. Overall poverty levels dropped in 2015, even as people considered to be “at-risk-of-poverty” increased by over 1,000.
While the indicator measuring people “at-risk-of-poverty or social exclusion” showed a drop of over two per cent, the figure focusing on those “at-risk-of-poverty” showed a small upward movement of 0.2 per cent. Another indicator (the Gini coefficient) that measures income inequality showed that the gap between the rich and poor in Malta had widened by 0.4 per cent to 28.5.
But the NSO also pointed out that there were (in 2015) just over 85,000 people “at-risk-of-poverty or social exclusion”, the lowest it has been in the seven years since 2008. Almost 70,000 people fell into the “at-risk-of-poverty” category, that is, almost 1,300 above the figure in 2014.
In a bullish speech at the United Nations General Assembly a fortnight ago, the Prime Minister lauded the latest figures as a sign of the government’s successful economic and social policies. Catching the attention of the General Assembly – representing many countries whose poverty is, indeed, real and extreme – he not unexpectedly claimed that Malta’s improvements were as a result of the government’s sustained economic growth and drive “to distribute fairly the proceeds coming from [it]”.
The Opposition Nationalist Party focused on what it saw as “financial poverty”, with economic wealth not reaching all sectors of society and the worst hit being the elderly.
A more nuanced appeal came from the Archbishop of Malta in his homily at St John’s Co-Cathedral on Independence Day. He rightly called for “a dignified standard of living for all” and questioned whether the wealth generated in our society had created “an oligarchy of the super-rich” while workers struggled to afford monthly rent.
Is the picture painted of Maltese incomes one of encouragement or despair? Is it a case of a glass half full or a glass half empty?
Although there can be no question that Malta’s standard of living has increased markedly in recent years, there are undoubtedly some dark areas of Maltese society. Despite our increasing affluence and conspicuous consumption, if you venture away from the prosperity of Sliema, St Julian’s and other places, to the highest concentrations of deprivation, such as Qawra, Buġibba, parts of Ħamrun, Pembroke and others, you will still find there are parts of Maltese society which give pause for thought.
Poverty in Malta affects a number of vulnerable groups, including single parents, those over the age of 65 on limited state pension and people with drug and gambling problems. Many single parents – the group most at risk of poverty – live below the poverty line and about a quarter of those over 65 years comprise the next most vulnerable group.
In the two years since these statistics were compiled there have been economic and social policy improvements that will feed through to subsequent reports. But it is inescapable that more remains to be done to ensure a fairer distribution of wealth.
The poor will always be with us but it is the job of government with all the tools at its disposal – economic, social and educational – to find remedies.