EUROMOD-based analysis supports Eurostat’s ‘Flash estimates of income inequalities and poverty indicators for 2021’
date: 02/08/2022
The main messages that can be drawn from the analysis are that, after the severe effects of the pandemic on household incomes in 2020, early estimates for 2021 show in general positive trends compared to the previous year. Flash estimates show an overall increase in the equivalised disposable income across the distribution for all EU countries. At-risk-of-poverty rates for the working age population (18-64) are estimated to decrease or remain stable for most countries; this finding is primarily related to the positive trends on the labour market, the gradual reduction in partial unemployment and the estimated increases in market incomes. Finally, 2021 flash estimates show a rather stable trend in income inequalities. This result is mostly driven by the general income increase in 2021 and the tax-benefit policies implemented during that year.