Brennan claims 21% poverty risk figure is 'flawed'

Figures which show that up to one-fifth of the population are at risk of poverty are "distorting" progress being made in helping…

Figures which show that up to one-fifth of the population are at risk of poverty are "distorting" progress being made in helping to lift people out of deprivation, Minister for Social Affairs Séamus Brennan said yesterday.

The Minister's intervention is likely to spark controversy within the EU and among the many lobby groups which support the use of relative income poverty in measuring the number of people at risk of deprivation.

The latest figures used by the EU and the Central Statistics Office (CSO) show that some 21 per cent of the population were deemed to be at risk of poverty in 2004, compared to an EU average of 16 per cent.

However, Mr Brennan said that this figure - based on the relative poverty measurement - was flawed and overstated the extent of poverty in Ireland.

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Social welfare rates had increased by 55 per cent over the past five years and 250,000 people had been lifted out of poverty, yet this was not reflected in these statistics, he said.

Instead, he said that the consistent poverty measure - which shows that 6.8 per cent of the population are experiencing poverty and deprivation - was the most accurate measurement.

"It could be argued that the relative poverty figure is a distraction and disservice to the dedication and commitment of so many people to tackling the causes and effects of poverty," Mr Brennan said.

Many NGOs argue that relative poverty is still an accurate way of measuring poverty and point out that it is favoured by institutions such as the EU. They also say that it is a valuable way of monitoring the gap between rich and poor in society.

The Minister was speaking at the publication of the Combat Poverty agency's annual report, at which the organisation called for more effective ways of implementing anti-poverty measures.

Director of Combat Poverty Helen Johnston said there needed to be a "whole Government" approach, along with clear targets and goals, in order to make a decisive impact on poverty.

"While Ireland has consistently demonstrated its ability to produce detailed national plans and strategies to tackle poverty, we have been less effective at ensuring these plans are fully actioned," she said.

"We need to work at closing the gap between the production of policy and the implementation of policy, and that is a challenge that Combat Poverty is working to address."

She said that the recent establishment of the Office of the Minister for Children was an example of how the functions of Government departments and agencies could be pulled together to provide for more effective implementation of policies.

Ms Johnston said that such an approach could bring about real change in the lives of people experiencing poverty.

"Social exclusion impacts on all of society as well as being a particular hardship for the individuals and groups directly affected," she said.

Poverty: How the statistics differ

Consistent poverty

This is based on the number of people who experience deprivation in relation to a number of defined items, such as the lack of a winter coat or of a second pair or shoes.

The current rate of consistent poverty in Ireland is estimated to be 6.8 per cent.

This form of measurement is favoured by the Government.

Relative poverty

This measures how many people have a disposable income smaller than 60 per cent of a particular country's middle point. For example, if 21 people out of 100 in Ireland have an income smaller than 60 per cent of the country's median, the "risk of poverty" rate is 21 per cent. This form of measurement is favoured by the EU and many NGOs.

Carl O'Brien

Carl O'Brien

Carl O'Brien is Education Editor of The Irish Times. He was previously chief reporter and social affairs correspondent