Ireland

Ireland spends less on social protection than EU average

Ireland spends less of its GDP on social protection than any other EU member-state. While the EU average is 27

By PADRAIG YEATES
Mon Aug 06 2001 - 01:00

Ireland spends less of its GDP on social protection than any other EU member-state. While the EU average is 27.7 per cent of GDP, Ireland spends 16.1 per cent.

Irish expenditure on social protection has fallen sharply since 1993, when major inroads began into unemployment. At that time 20.5 per cent of Irish GDP was spent on social protection, compared with an EU average of 28.9 per cent.

According to the European Commission's report for 2001, "The Social Situation in the European Union", Irish expenditure on social protection is also low when calculated per head of population, as opposed to overall GDP. Only Portugal, Greece and Spain score lower.

Italy, the EU's largest member in southern Europe, has greater expenditure on social protection than Ireland. It spends 25.2 per cent of GDP on social protection.

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The EU average of 27.7 per cent is exceeded by Sweden, which spends 33 per cent of GDP on social protection, France 30.5 per cent, Denmark 30 per cent, Germany 29.3 per cent, the Netherlands 28.5 per cent and Austria 28.4 per cent. Of the remaining states, Belgium spends 27.5 per cent of GDP on social protection, Finland 27.2 per cent, the UK 26.8 per cent, Greece 24.5 per cent, Luxembourg 24.1 per cent and Portugal 23.4 per cent.

The Commission's report, which is based on data for 1998, shows more people in Ireland have difficulty making ends meet than any other EU state except Portugal, Greece and Spain, where the standard of living is lower. Almost 80 per cent of people in Portugal and Greece find it hard to make ends meet, compared with 67 per cent in Spain and 63 per cent in Ireland.

Luxembourg has the lowest proportion of it population in this category at 18 per cent. The next three lowest are Germany, the Netherlands and Denmark which all have 31 per cent of the population finding it difficult to make ends meet. The EU average is 54 per cent.

Lone parent households are most at risk of poverty in all member-states. Thirteen per cent of children live in such households, ranging from 25 per cent in the UK to 6 per cent in Greece. In Ireland the figure is 12 per cent.