Joan Burton (Dublin West, Labour) | Oireachtas source

The CSO recently published its release on the survey of income and living conditions for 2013, known as SILC. This survey found that the basic deprivation rate was 30.5%, an increase of 3.6% on the 2012 figure. The two most commonly experienced indicators of deprivation were stated as “unable to afford to replace any worn out furniture” and “unable to afford a morning, afternoon or evening out in the past fortnight”. These indicators were experienced by one in four of the individuals surveyed. The rise in basic deprivation has affected all income groups and reflects the legacy on households of the economic crisis since 2008.

Since 2012 to 2013, the period referred to in this survey, there have been significant improvements in the economy. For instance, unemployment and long-term unemployment have fallen significantly. The January live register figures published yesterday show a reduction in the numbers of over 70,000 people unemployed since 2013. The unemployment rate fell yesterday again to 10.5%.

Poverty is strongly linked to unemployment and as employment increases, we can expect to see decreases in poverty and deprivation. The best way to reduce poverty is through getting a job. The Government has protected the incomes of the bottom income 20% - or quintile, as it is termed - by maintaining core welfare rates. While deprivation has increased, it should be noted that the at-risk-of-poverty rate has declined from 16.5% in 2012, to 15.2% in 2013. The at-risk-of-poverty rate for 2013 is, in fact, lower than that in 2005 at the height of the boom when it was 18.3%. A key reason for this fall is the effectiveness of social transfers in reducing income poverty. SILC 2013 shows that, excluding pensions, social welfare transfers lifted one third of the population out of poverty. In budget 2015, we further enhanced the poverty reduction effect of social transfers, such as increases in child benefit and the living alone allowance and the restoration of the Christmas bonus.

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