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DREM releases provisional results of the Survey on Income and Living Conditions 2019

The Regional Directorate of Statistics of Madeira (DREM) conducts annually the Survey on Income and Living Conditions (EU-SILC) in the Autonomous Region of Madeira, under the guidance of Statistics Portugal (INE), since EU-SILC is a statistical operation of national scope.

It is also a harmonised statistical operation in the European Union, carried out within the framework of specific EU legislation (Regulation (EC) No 1177/2003) and it aims to produce statistics on the distribution of income, living conditions and social exclusion, allowing the analysis of:

  • composition and income distribution of households and individuals;
  • living conditions (conditions of housing and comfort, financial capacity, etc.);
  • the impact of social transfers on the level of poverty and social exclusion;
  • the link between poverty and social exclusion and economic activity, employment, socio-family typology, education, health and housing.

In this context, DREM releases today, on its website, some provisional results of EU-SILC, carried out between March and May 2019, on previous year incomes. In the 2019 operation the number of interviews conducted in the Autonomous Region of Madeira was 2,270.

Median equivalised disposable income in the Autonomous Region of Madeira stood below national average

The median equivalised income in the Autonomous Region of Madeira was EUR 8 500, below the national value, which was EUR 10 023.

At-risk-of-poverty rate in 2018 was 27.8%

The national at-risk-of-poverty threshold (which corresponds to 60% of median equivalised income) stood at EUR 6 014, while the regional at-risk-of-poverty threshold for the Autonomous Region of Madeira was EUR 5 100.

The at-risk-of-poverty rate (calculated with the national at-risk-of-poverty threshold) in the country dropped from 17.3% in 2017 to 17.2% in 2018, while in the Autonomous Region of Madeira it increased by 0.3 percentage points (p.p.) to 27.8%. Área Metropolitana de Lisboa had the lowest value (13.3%) and the Autonomous Region of Azores, the highest (31.8%).

 

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The at-risk-of-poverty rate (calculated with the regional at-risk-of-poverty thresholds) indicates that the Autonomous Region of Madeira and Azores have the highest values (19.7% and 23.6%). Centro (15.9%) had the lowest value. It should be noted that from 2017 to 2018 this variable recorded a sharp decrease (2.6 p.p.) in the Autonomous Region of Madeira.

Very low work intensity in the Autonomous Region of Madeira dropped between 2017 and 2018

Persons in a very low work intensity condition are those aged less than 60 who, in the income reference period, lived in households where adults aged 18-59 (excluding students) worked on average less than 20% of the labour potential. This situation can enhance the risk of social exclusion of a household.

In 2018, the proportion of population under 60 years old living in households with very low work intensity stood at 9.4%, dropping by 1.0 p.p. from 2017. In this indicator, the highest value was registered in the Autonomous Region of Azores (11.9%) and the lowest in Centro (5.0%). The national average was 6.2%, recording a 1.0 p.p. decline.

Severe material deprivation rate in the Region decreases to 7.3%

Material deprivation, i.e., the lack of access to a set of economic needs and durable goods, is also a factor that can enhance the risk of social exclusion.

If there is an enforced lack of at least four out of the following nine items, due to economic difficulties, there is a case of severe material deprivation : a) capacity to face unexpected financial expenses (without asking for financial help); b) capacity to afford paying for one week's annual holiday away from home, paying travel and accommodation costs for all household members; c) capacity to pay on time for mortgage or rent payments, utility bills, hire purchase installments or other loan payments; d) capacity to afford a meal with meat, chicken, fish (or vegetarian equivalent) every second day; e) capacity to pay for keeping its home adequately warm; f) capacity to afford for a washing machine; g) capacity to afford for a color TV; h) capacity to afford for a telephone (including a mobile phone); i) capacity to afford a car.

In 2019, in the Autonomous Region of Madeira, the severe material deprivation rate is 7.3%, dropping by 2.1 p.p. from the previous year.  Once more, the Autonomous Region of Azores had the highest value (13.1%), and Centro (4.1%) the lowest. The national average was 5.6%, decreasing by 0.4 p.p. from the previous year.

At-risk-of poverty or social exclusion rate in the Autonomous Region of Madeira in 2019 is 32.2%

In the context of Europe 2020, an indicator was set out regarding the population at-risk-of-poverty or social exclusion, joining the concepts of relative at-risk-of-poverty rate – people with an annual equivalent income below the poverty threshold – and severe material deprivation with the concept of very low per capita labour intensity.

In 2019, in the Autonomous Region of Madeira, the at-risk-of poverty or social exclusion rate is 32.2%. The Autonomous Region of Azores has the highest rate (36.7%) and the Área Metropolitana de Lisboa the lowest (17.8%). The country’s rate is 21.6%, meaning that 2.2 million persons in Portugal were in at-risk-of-poverty or social exclusion. Compared to 2018, both Autonomous Regions saw this indicator increase by 0.3 p.p., while in the country it remained unchanged.

Strong inequality in income distribution in the Region and in the country

Two indicators – the Gini coefficient and the S80 / S20 ratio make it possible to assess asymmetry in income distribution in the Autonomous Region of Madeira and in the country.

The Gini coefficient synthesizes into a single value the asymmetry of the income distribution, assuming values between 0 (when all individuals have the same income) and 100 (when the total income is concentrated in a single individual). In the Autonomous Region of Madeira, this indicator had the value of 33.5%, above the national value (31.9%). The Autonomous Region of Azores had the highest inequality 37.6%) and Norte the lowest (30.1%).

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International Statistical Cooperation

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International Statistical Cooperation

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Statistical Literacy

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Statistical Literacy

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