Ireland’s Poverty Rate Inches Up in 2025 Despite Government Supports

Ireland’s “at risk of poverty” rate rose to 12.6% in 2025, according to a recent Survey on Income and Living Conditions published by the Central Statistics Office (CSO). While this represents an increase from 11.7% in 2024 and 10.6% in 2023, the CSO data indicates that government interventions lessened the impact, preventing a more substantial rise.

Government Supports Mitigate Poverty Risk

The CSO report reveals that without the supports provided by the government, the “at risk of poverty” rate would have been 14.9% in 2025. This highlights the effectiveness of measures implemented in the previous year to shield vulnerable populations from economic hardship. The coalition government has recently ceased energy credits, citing a decrease in the rate of inflation, but the reduced VAT rate on gas and electricity (9%) remains in effect. Eligibility for the fuel allowance was expanded in the recent budget.

Poverty Metrics Explained

The CSO defines being “at risk of poverty” as having an after-tax income that is 60% less than the national median. The “consistent poverty rate,” a more severe measure encompassing both poverty risk and enforced deprivation, was 4.7% in 2025, compared to 5.0% in 2024 and 3.6% in 2023. Notably, the consistent poverty rate for children aged 0-17 decreased to 7.8% in 2025, down from 8.5% in 2024.

Household Income Trends

The median household disposable income in Ireland reached €61,666 in 2025, representing a 4.7% increase, or €2,744, compared to the previous year. The CSO utilizes the median income – the midpoint of a dataset – to avoid distortions caused by extreme high or low incomes. A significant income disparity remains, with the lowest 10% of households averaging a weekly disposable income of €329, while the highest 10% averaged €3,496 per week.

Vulnerable Groups at Higher Risk

CSO statistician Darragh Turner emphasized that certain groups are disproportionately affected by the risk of poverty. These include individuals unable to work due to long-standing health problems, the unemployed, single-adult households, and those in rented accommodation. [CSO Report]

Looking Ahead

Observers anticipate that upcoming inflation figures, particularly those related to home heating oil and petrol/diesel prices, will be reflected in the CSO’s consumer price index for March. [CSO Homepage] The interplay between government supports, inflation, and income distribution will continue to shape the poverty landscape in Ireland.