Income inequality in Berlin has increased over the past five years. This emerges from the report of the Senate on the social situation. According to this, the wealthiest Berliners earned five times more than the poorest in 2021. In 2017, the income of the top earners was 4.3 times higher, in 2019 4.5 times.
Overall, the median per capita net income in Berlin has risen slightly. In 2021 it was 1375 euros, while it stagnated at 1352 in the two previous years. Compared to 2017, income in 2021 grew by 12.3 percent.
The unequal pay of men and women is also reflected in the capital: men earn an average of 225 euros more per month than women. There is still a wage gap. However, as the Office for Statistics has already announced, this is lower in Berlin than in the national comparison.
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The median equivalised income for 2021 in Berlin was 1901 euros per month. The equivalised income calculates how large the needs of a particular household are. According to this, anyone who has more than twice that amount – i.e. 3802 euros per month – is considered rich. That was 9.2 percent in Berlin in 2021. This means that the proportion of rich people has fallen by 0.3 percentage points compared to the previous year.
If you have less than half, i.e. less than 950 euros per month, income is considered poor. According to the Senate report, the proportion of people in Berlin who belong to this group is growing: it was 11.6 percent in 2021. In the previous year it was still 10.8 percent. Overall, 19.3 percent of Berliners were considered at risk of poverty.
Young people are particularly at risk of poverty
Young people in particular are at risk of poverty in the capital. Anyone who has an equivalent income of 1140 euros per month or less is considered to be at risk of poverty. All age groups under 25 were more at risk of poverty in 2021 than the rest of the urban population. For 18 to 25 year olds, the proportion was 33.8 percent. In the oldest age group, aged 65 and over, the at-risk-of-poverty rate is lower, but increased significantly from 2020 to 2021, from 14.5 to 17 percent.
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Even those who have a history of migration are significantly more likely to be at risk of poverty: the at-risk-of-poverty rate for people with a migration background is three times higher than for people without a migration background.
The nationality factor also plays an important role in income. Households in which the person earning the main income does not have German citizenship have less money at their disposal than households in which this person has German citizenship. The difference in household income is 275 euros per month.
Single parents are significantly more likely to be at risk of poverty than others. The proportion of single parents who are at risk of poverty increased significantly from 2020 to 2021, from 33.6 percent to 37.9 percent. The group of long-term unemployed is particularly at risk of poverty. Here the proportion is 70 percent.
Data inventory for a better overview
In its report, Berlin’s social administration points out that there is currently a “diverse reporting landscape” on the social situation of the city’s population. “Different forms of reporting exist side by side,” it says. A cross-departmental approach is not clear enough either. In order to get a better overview, a data inventory is currently being made.
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The aim is to set up “integrated poverty and social reporting”. This is “an important basis for a targeted and effective social policy”. In order to set up integrated poverty and social reporting, another position is planned together with the existing work area, which according to the report will be filled in August 2023.
2023-07-04 09:29:41
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