10/2010 - 18 January 2010

Living conditions in 2008

17% of EU27 population at risk of poverty
Higher risk of poverty among children and elderly
In 2008, 17% of the population in the EU27 were at risk of poverty. This means that their income after social
transfers was below the poverty threshold1. Since 2005, the at-risk-of-poverty rate in the EU27 has been nearly
stable, varying between 16% and 17%.
The highest at-risk-of-poverty rates in 2008 were found in Latvia (26%), Romania (23%), Bulgaria (21%), Greece,
Spain and Lithuania (all 20%), and the lowest in the Czech Republic (9%), the Netherlands and Slovakia (both
11%), Denmark, Hungary, Austria, Slovenia and Sweden (all 12%).
It should be noted that the at-risk-of-poverty rate is a relative measure of poverty, and that the poverty threshold
varies greatly between Member States.
This News Release, based on data from the EU-SILC survey2, is issued by Eurostat, the statistical office of the
European Union in connection with the opening conference of the European Year for Combating Poverty and
Social Exclusion3, organised by the European Commission and the Spanish Presidency of the EU, and which
takes place in Madrid on 21 January 2010.

One child in five in the EU27 at risk of poverty

In 20 of the 27 Member States, child at-risk-of-poverty rates were higher than for the total population. In 2008, the
at-risk-of-poverty rate for those aged up to 17 years was 20% in the EU27. The highest rates were recorded in
Romania (33%), Bulgaria (26%), Italy and Latvia (both 25%), and the lowest in Denmark (9%), Slovenia and
Finland (both 12%).
Elderly people also face a higher risk of poverty than the total population. In 2008, the at-risk-of-poverty rate for
those aged 65 years and over was 19% in the EU27. The highest rates were observed in Latvia (51%), Cyprus
(49%), Estonia (39%) and Bulgaria (34%), and the lowest in Hungary (4%), Luxembourg (5%) and the Czech
Republic (7%).
Being employed significantly reduces the risk of poverty. In 2008, the at-risk-of-poverty rate for those in
employment was 8% on average in the EU27, ranging from 4% in the Czech Republic to 17% in Romania.

Highest rate of material deprivation in Bulgaria, Romania, Hungary and Latvia

In order to draw a broader picture of social exclusion in the EU, the at-risk-of-poverty rate, which is a relative
measure, can be complemented by the material deprivation rate, which describes social exclusion in more absolute
terms. The material deprivation rate is defined as the enforced lack of at least three of nine items4. In 2008, 17% of
the EU27 population was materially deprived according to this definition. The highest levels were registered in
Bulgaria (51%), Romania (50%), Hungary (37%) and Latvia (35%), and the lowest in Luxembourg (4%), the
Netherlands and Sweden (both 5%).
Looking at some of the individual items defining material deprivation, it appears that in 2008, 37% of the EU27
population could not afford a one week annual holiday away from home, 10% could not afford to keep their home
adequately warm, 9% could not afford a meal with meat, chicken or fish every second day and 9% could not afford
a personal car.
 Poverty threshold (PPS*) and at-risk-of-poverty rate (%), 2008
At-risk-of-poverty rate for:
Poverty threshold
Total population Aged 0-17 Aged 65 and above Employed
EU27 - 17p 20p 19p 8p
Belgium 10 100 15 17 21 5
Bulgaria 2 800 21 26 34 7
Czech Republic 5 800 9 13 7 4
Denmark 10 500 12 9 18 5
Germany 10 600 15 15 15 7
Estonia 4 700 19 17 39 7
Ireland 10 900 16 18 21 6
Greece 7 200 20 23 22 14
Spain 8 400 20 24 28 11
France 9 700 13 17 11 7
Italy 9 000 19 25 21 9
Cyprus 11 300 16 14 49 6
Latvia 4 400 26 25 51 11
Lithuania 4 200 20 23 29 9
Luxembourg 16 500 13 20 5 9
Hungary 4 000 12 20 4 5
Malta 7 800 15 20 22 5
Netherlands 11 300 11 13 10 5
Austria 11 200 12 15 15 6
Poland 3 900 17 22 12 12
Portugal 5 800 18 23 22 12
Romania 1 900 23 33 26 17
Slovenia 8 400 12 12 21 5
Slovakia 4 000 11 17 10 6
Finland 9 600 14 12 23 5
Sweden 10 400 12 13 16 7
United Kingdom 11 600p 19p 23p 30p 9p
Iceland 13 000 10 11 15 7
Norway 13 700 11 10 15 5
* The annual national at-risk-of poverty threshold is set at 60% of the national median income per equivalent adult. In order to allow
comparisons between countries the threshold is expressed in this table in Purchasing Power Standards (PPS), which is an artificial
reference currency unit that eliminates price level differences between countries.
p Provisional
- not applicable
 Material deprivation, 2008
% of population who cannot afford:
A meal with meat,
Material To pay for a one
chicken, fish or
deprivation rate week annual To keep their home
vegetarian A personal car
holiday away from adequately warm
equivalent every
home
second day
EU27 17e 37 10e 9 9
Belgium 12 26 6 5 6
Bulgaria 51 59 34 30 28
Czech Republic 16 39 6 12 11
Denmark : 10 : 2 8
Germany 13 25 6 11 5
Estonia 12 44 1 5 17
Ireland 14 30 4 3 9
Greece 22 50 15 7 9
Spain 9 34 5 2 5
France 13 32 5 8 4
Italy 16 40 11 8 3
Cyprus 23 46 29 5 1
Latvia 35 55 17 23 24
Lithuania 27 60 22 19 13
Luxembourg 4 12 1 2 2
Hungary 37 67 10 26 20
Malta 13 65 9 10 2
Netherlands 5 14 2 2 5
Austria 14 28 4 13 7
Poland 32 63 20 21 17
Portugal 23 64 35 4 9
Romania 50 76 25 19 49
Slovenia 17 30 6 12 3
Slovakia 28 57 6 29 20
Finland 9 18 2 3 8
Sweden 5 11 1 2 3
United Kingdom 11 24 6 4 5
Iceland : 3 : 3 1
Norway 5 6 1 2 5
e Estimate
: Data not available
1. The annual national at-risk-of poverty threshold is set at 60% of the national median income per equivalent adult. The
median income separates the total population into two equal parts. The income per equivalent adult is calculated by
dividing the total household income by its size determined after applying the following weights: 1.0 to the first adult, 0.5 to
other household members aged 14 or over and 0.3 to each household member aged less than 14 years old. The total
household disposable income is the total net monetary income received by the household and its members, namely all
income from work, private income from investment and property, plus all social transfers received directly including old-age
pensions, net of any taxes and social contributions paid. However, indirect social transfers, loan interest payments, transfers
paid to other households, receipts in kind and imputed rent for owner-occupied accommodation are not taken into account.
The income reference period is 2007 for all countries except the United Kingdom for which the income reference period is
2008 and Ireland for which the survey is continuous and income is collected for the last twelve months.
2. The EU-SILC survey is the EU reference source for comparative statistics on income distribution and social exclusion. More
information can be found on the Eurostat website:
http://epp.eurostat.ec.europa.eu/pls/portal/url/page/PGP_DS_LIVING_CONDITIONS/PGE_DS_LIVING_CONDITIONS
The reference population is all private households and their current members residing in the territory of the Member States
at the time of data collection. Persons living in collective households and in institutions are generally excluded from the
target population as well as small and remote parts of the national territory amounting to no more than 2% of the national
population.
3. For more information on the European Year for Combating Poverty and Social Exclusion visit:
http://ec.europa.eu/social/main.jsp?langId=en&catId=637
4. The nine items included in this indicator are: ability to face unexpected expenses; ability to pay for one week annual holiday
away from home; existence of arrears (mortgage or rent payments, utility bills, or hire purchase instalments or other loan
payments); capacity to have a meal with meat, chicken, fish or vegetarian equivalent every second day; capacity to keep
home adequately warm; possession of a washing machine; possession of a colour TV; possession of a telephone; and
possession of a personal car.

Issued by: Eurostat Press Office For further information about the data:

Johan WULLT Pascal WOLFF

Tel: +352-4301-33 444 Tel: +352-4301-33 660
eurostat-pressoffice@ec.europa.eu pascal.wolff@ec.europa.eu

Eurostat news releases on the Internet:http://ec.europa.eu/eurostat