nrc.nl
Netherlands: Poverty Rate to Decrease, but Depth of Poverty to Increase
The number of people in poverty in the Netherlands is expected to decrease from 4.9 percent in 2021 to 2.9 percent in 2026, but the depth of poverty will increase, with 35,000 employed and 30,000 self-employed individuals facing an income shortfall exceeding 30 percent of the poverty line in 2026, according to the Central Planning Bureau (CPB).
- What are the primary factors contributing to the projected increase in poverty intensity despite a decline in the overall poverty rate in the Netherlands?
- The increase in poverty intensity is primarily due to a growing number of individuals experiencing a more significant income shortfall relative to the poverty line, particularly those with employment income or self-employment income. This group often forgoes claiming available benefits, exacerbating their financial hardship. The Central Planning Bureau (CPB) uses a new measure of 'poverty intensity' to gauge the depth of poverty, which considers the gap between household income and the poverty threshold.
- What policy implications arise from the CPB's findings regarding the rising poverty intensity among specific income groups, and how can these issues be addressed to prevent further deepening of poverty?
- The CPB's projections suggest a future scenario where, despite a decrease in the overall poverty rate, a considerable segment of the population will face more severe financial constraints. This trend highlights the need for policies that not only reduce the number of people in poverty but also address the depth of poverty experienced by vulnerable households, especially those who may not be accessing existing social support programs. This indicates a need for targeted support and educational initiatives to promote benefit claim awareness and utilization among this group.
- What is the projected change in the number of people living in poverty in the Netherlands between 2021 and 2026, and what is the significance of this change considering the concurrent trend in poverty intensity?
- Although the number of people in poverty in the Netherlands is projected to decrease from 4.9 percent in 2021 to 2.9 percent in 2026, the intensity of poverty will increase. This means that those remaining in poverty will experience a deeper level of deprivation than before. The average poverty intensity is expected to rise from 10 percent in 2018-2021 to 20 percent in 2021-2026.
Cognitive Concepts
Framing Bias
The article presents the CPB's data objectively, highlighting both the decrease in the overall poverty rate and the concerning increase in poverty intensity. While the headline might not be explicitly stated, the framing focuses on the nuance of the situation, avoiding sensationalism.
Bias by Omission
The article focuses on the CPB's findings and doesn't include alternative perspectives on poverty in the Netherlands. It omits discussion of potential policy solutions or the effectiveness of current social support systems. While acknowledging space constraints is reasonable, the lack of diverse viewpoints could limit the reader's understanding of the issue's complexity.
Sustainable Development Goals
The article reports a decrease in the percentage of people in poverty in the Netherlands from 7.1% to 4.9% between 2018 and 2021. While the report also predicts a potential increase in the depth of poverty for some, the overall trend shows a reduction in the number of people living below the poverty line, which is a positive step towards achieving SDG 1: No Poverty. The decrease in the percentage of people below the poverty line is a direct indicator of progress towards this goal.