The standard of living in Europe varies greatly: find out where life is hardest and best, which countries have high and low poverty rates, and how the EU plans to reduce social inequality by 2030

Europe remains one of the richest regions in the world, but living standards vary widely across the continent. While some countries have social systems that provide citizens with high standards of well-being, others still struggle with low incomes, unemployment and inequality.

In this article, we tell you where in Europe life is the hardest and where it is the best.

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How does the EU measure poverty?

Unlike the US, where poverty is determined mainly by income, the European Union assesses the situation according to three interrelated criteria:

- Income below 60% of the national median.

- Material deprivation – when people cannot afford at least seven out of 13 basic needs (e.g. paying for unexpected expenses, keeping their home warm, having access to the internet).

- Low work intensity – when adults in the household worked less than 20% of the time they could have worked during the year.

People who meet at least one of these criteria are considered to be at risk of poverty or social exclusion.

Countries with the highest poverty rates in Europe

According to Eurostat, the highest risk of poverty is observed in Turkey (30.4%), Bulgaria (30.3%) and Romania (27.9%) – here almost one in three residents faces economic difficulties. The main reasons are low wages, income inequality and weak social protection systems.

In Southern Europe, Greece (26.9%) and Spain (25.8%) stand out, where the effects of the 2008-2014 debt crisis are still being felt. High unemployment, especially among young people, hinders capital accumulation and the creation of sustainable wealth.

In the Baltic region, Lithuania (25.8%) and Latvia (24.3%) lead, indicating a deep urban-rural divide – incomes in rural areas are about 20% lower than in cities.

TOP-10 countries with the highest poverty rate in Europe

1. Turkey – 30.4%

2. Bulgaria – 30.3%

3. Romania – 27.9%

4. Greece – 26.9%

5. Spain – 25.8%

6. Lithuania – 25.8%

7. Latvia – 24.3%

8. Italy – 23.1%

9. Estonia – 22.2%

10. Croatia – 21.7%

Where is the lowest risk of being below the poverty line?

The best situation is observed in Central and Northern Europe, where high median incomes and effective social security programs are combined.

The leader is the Czech Republic (11.3%), followed by Slovenia (14.4%) and the Netherlands (15.4%). In these countries, the state actively supports citizens during economic fluctuations and provides wide access to education and medicine.

Scandinavian countries remain close to the EU average:

- Finland – 16.8%

- Sweden – 17.5%

- Denmark – 18.0%

TOP 10 countries with the lowest poverty rate in Europe

1. Czech Republic – 11.3%

2. Slovenia – 14.4%

3. Netherlands – 15.4%

4. Norway – 15.7%

5. Poland – 16.0%

6. Ireland – 16.7%

7. Finland – 16.8%

8. Austria – 16.9%

9. Cyprus – 17.1%

10. Sweden – 17.5%

EU target by 2030

The European Union has set an ambitious goal – to lift at least 15 million people (including 5 million children) out of poverty by 2030 or social isolation.

However, progress has slowed since the COVID-19 pandemic: inflation has reduced real purchasing power, and rising housing, energy and food prices have only increased social pressures.

Success will depend on expanding affordability, including for housing, improving worker skills, boosting productivity and closing the gender pay gap.

The gap in poverty levels across Europe remains significant. Southern and Eastern countries suffer from low incomes, weak social systems and the effects of economic crises, while Central and Northern Europe demonstrate effective social protection mechanisms. Investments in education, increased labor productivity and equal access to social benefits are critical to achieving the EU's poverty reduction goal.

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Let's remind you! Where in Europe can you feel safe in 2025? We have already told you which countries are considered the most dangerous in Europe in 2025. The Global Peace Index (GPI) shows where the level of violence, conflict and instability is highest, as well as what factors affect security in different regions of the continent.

Photo – Freepik.com

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