The social situation in Germany eased somewhat in the first quarter, according to an ongoing study commissioned by the Ministry of Social Affairs. Almost everywhere there is a “slight improvement”. For example, the number of people who had to contend with a loss of income, who had difficulty paying housing costs or who could hardly pay smaller costs fell.
In the sixth survey by Statistics Austria and the Institute for Advanced Studies (IHS) “This is how we are doing today”, 3,500 people were asked about the social consequences of the current crises. According to the ministry, the results are representative of the Austrian population.
The income situation improved slightly
In the current study, the number of people who reported losing income in the past 12 months fell from 36 percent in the previous quarter to 33 percent. They contrast with 21 percent whose income has improved (Q4/2022: 20 percent). The number of people struggling to cover current expenses has remained constant. That was true for about a million people.
Living and energy costs as an expense
The figures for housing costs are also declining slightly, although they still pose a challenge for many people, according to the municipality. A heavy financial burden was the housing costs for 1.5 million people (22 percent; Q4/2022: 24 percent). 1.6 million people (24 percent) feared payment problems for their housing costs in the next three months. In the previous quarter that was still 27 percent. Seven percent or 430,000 people had already defaulted on their housing costs (Q4/2022: eight percent).
Energy costs were also a problem for many. 890,000 people (14 percent) were affected by energy poverty. For 450,000 people (seven percent) the financial resources were not sufficient to meet the electricity needs. 330,000 people (five percent) couldn’t afford the household energy they needed, and 400,000 people (six percent) couldn’t pay their energy bills because of financial constraints.
Rauch speaks of „effective measures“
“Many people are still feeling the social consequences of high inflation,” emphasized Social Affairs Minister Johannes Rauch (Greens). “Nevertheless, we see that our measures are having an effect.” For example, increasing all social benefits, pensions and social assistance would have contributed to improving the situation of people at risk of poverty.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
