EU citizens at risk of 'poverty and exclusion' rises by four million

Europe should focus on inclusive growth as the EU's 2020 poverty reduction target remains "far from being reached", warns Heather Roy.

By Heather Roy

02 Jul 2014

When the June European council adopted its 'strategic agenda for the union in times of change' it set the direction for the European Union for the next five years.

It stated that the already existing and implemented Europe 2020 strategy would be 'brought into line' with the streamlined policy agenda through its midterm review.

For Eurodiaconia, the European network of Christian-based social and healthcare service providers, this is a concerning statement. Does this mean that the European Union is moving away from smart, sustainable and inclusive growth and how will this affect the existing commitment to reduce poverty by 20 million people by 2020?

When Europe 2020 was launched it was hailed as the blueprint for exiting the crisis in Europe and ensuring we had inclusive growth. Setting targets in specific areas such as employment, education and reducing poverty were seen as key complements to targets aiming at improving competitiveness.

Yet the poverty target of the Europe 2020 strategy is far from being reached. Even at this half way point the number of people at risk of poverty and exclusion has increased by four million rather than decreased.

Many factors can be attributed as the cause of this increase but the continuing prevalence of economic and financial policies that are not assessed as to their social impact is one clear reason.

Both the European commission and member states have argued that the needs of fiscal consolidation outweigh more social concerns because addressing poverty and social exclusion can only happen once there is economic stability, through a 'trickle-down effect'.

"People across Europe have seen the impact of such austerity measures through the increasing conditionality when accessing social security support"

However, our members and others across Europe have seen the impact of such austerity measures through the reductions in financing for essential social and healthcare services. People across Europe have seen the impact of such austerity measures through the increasing conditionality when accessing social security support. Member states have hopefully seen the impact of their decisions when Europeans took to the polls in May.

The imbalance of social and economic policies is not sustainable and the recently published EU employment and social situation quarterly review emphasises that the poverty traps of long term unemployment, gender disparity in employment and low quality jobs remain a significant challenge.

Previous research has shown an increase in poverty, particularly among those in employment, as well as increases in material deprivation. Yet the adopted strategic agenda moves away from a direct reduction of poverty to focus on a very general statement on the empowerment and protection of citizens and the need for societies to have safety nets.

"The adopted strategic agenda moves away from a direct reduction of poverty to focus on a very general statement on the empowerment and protection of citizens"

What does this mean if the European Union gives up its quantified poverty reduction target? What does this mean if the European commission keeps pushing for austerity without a stronger focus on the need for social investment?

If the strategic agenda is to succeed in giving a true direction to Europe and not to be replaced by another agenda in five years, it has to be bolder in offering a concrete path for the European Union to ensure the wellbeing of all people living in the EU.

This means increasing the focus on the fight against poverty and exclusion and ensuring we have both economic and social recovery through inclusive growth as was originally intended.