Measures of Basic Deprivation and Consistent Poverty in Ireland – Poverty Target Reduction in Ireland and the Role of Social Transfers

This is a continuation of the series of projects funded by the Department of Social Protection using the Survey on Income and Living Conditions (SILC) data. For the current project we look at two pieces of research. In the first one, we use Irish SILC data for 2019 to assess the validity of the existing deprivation and consistent poverty measures and if there was a need to update these measures. Following a rigorous statistical assessment, we find that the current measures are fit for measuring poverty in Ireland. In the second piece of research, we explore the relationship between income poverty and deprivation, the two measures that compose consistent poverty. We explore how much a change in the distribution of social transfers is likely to reduce income poverty, deprivation and, subsequently, consistent poverty and who are the groups that are more likely to benefit from these changes. The analysis is conducted using SWITCH, the ESRI’s tax-benefit model that is linked to SILC 2019.