Somewhat lower probability of impoverishment for families with kids.
Increasing food costs and housing fees have been straining finances since 2023, with families with kids bearing the brunt of the strain. However, recent reports suggest the German government's efforts to help alleviate the situation are bearing some fruit.
In spite of rising rents during the past year, the poverty risk for families with offspring has dipped slightly. The rate dipped to 8.1% for couples with one child, down from the previous 8.4%, while the rate for couples with two children decreased to 10.4% from 11.2%. For those with three or more kids, the rate dropped from 32% to 30.1%. These statistics were part of an advance report in the Rheinische Post newspaper, with the data originating from a response provided by the German government to an AfD parliamentary group's query.
Additionally, the risk of poverty for single parents has decreased from 43.2% to 41%. The Federal Ministry of Labor attributes this drop to higher wages as well as government programs, like the 250-euro increase in child allowance per child, implemented in early 2023, and the child supplement for households with low incomes. The report also revealed that the number of eligible households and the payment amounts have both increased.
This year, there are approximately 413,000 households with around one million kids who were receiving the supplement in February, compared to 363,000 households with about 927,000 kids as the average from 2023. Since the coalition government introduced basic childcare protection in 2021, the number of assisted children has risen to nearly 300,000, while the average payment amount has also increased from €339 to just under €429.
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In light of the decreasing poverty rates, family policy requests to the federal government have become more frequent, aiming to maintain and reinforce these positive trends. Despite the improvements, poverty still remains a significant issue, and further support is needed to ensure a sustainable reduction in the poverty rate for families with children.
Source: www.ntv.de
