The risk of being poor in Italy is becoming an ever-more likely phenomenon, and particularly worrying is the increase of young NEETs (Not in Employment, Education or Training) and of people in working poverty. ISTAT data from 2005 and 2020 showed that absolute poverty had nearly doubled from 3,600,000 to 7,700,000 in 15 years.

Those Most Affected

In 2024, 2,200,000 families lived in absolute poverty. About 15.6% of families in poverty had someone working in the family, showing that working is not enough to escape poverty. Families renting are the ones most vulnerable, with housing for the poorest 20% being five times more of a burden compared to the richest 20% of the population. Foreign nationals are also at risk, with incidence climbing to almost 40% in households with at least one foreigner.

Minors in absolute poverty peaked at 13.8% (approximately 1,300,000 people) in 2024, the highest value in 10 years. Families also feel the weight of child poverty, with one in five households with three or more children being in absolute poverty.

The Role of Geography

Geography also plays an important factor when it comes to being poor in Italy, with the percentage of households in absolute poverty being highest in the South and the Islands (at 10.5%). Indeed, it is reported that a person living in Puglia and Sicilia is twice as likely to be in poverty compared to someone in Piedmont. People in small municipalities (<50,000) are more likely to be poor (8.9%) compared to those living in larger municipalities (8%). The one exception to this rule is Liguria, with it being the only region to have lower poverty thresholds in cities (meaning it is cheaper to live in cities) with the two main factors being rent and energy (home heating, electricity etc.).

In-Work Poor

A large problem for Italy has always been people in work and their wages, with GDP wage share pre-2008 being higher only than Greece and Cyprus (within the EU). Pre-crisis employment levels have not been restored in the South, only in the North; with the youth and foreign households bearing the brunt of the crisis. The in-poverty rate was 10% pre-pandemic, above the EU27 average. Temporary workers are, of course, at a higher risk of poverty, with insufficient hours, minimal protections and short-term contracts all being setbacks. Many people often have to access part-time work due to worker constraints or due to the need to balance family and personal responsibilities. Foreign workers have a positive correlation with in-work poverty, being overall more structurally vulnerable in Italy.

The increase in young Italian NEETs comes largely as a result of both the general crisis in the labor market as well as a lack of knowledge/skills, exacerbated especially by the lack of willingness to re-enter training after education. Those with a university degree are less likely to fall into poverty, with low levels of education linking to lower wages, employment instability and more.

Tackling Poverty in a Developed Country

Despite the ongoing poverty in Italy, there are both domestic and foreigners working to fight poverty. Action Contre le Faim, for example, is working on a Naples- and Milan-centered strategy called Mai Piu Fame: dall’emergenza all’autonomia. The program aims to take a multi-layered approach of combatting hunger and being poor in Italy through an immediate approach (such as food support), while also focusing on a long-term approach such as re-training and education. The Italian Ministry of Labour and Social Policy currently has a 2021-2027 National Inclusion and Poverty Alleviation Programme aiming to promote social inclusion and to fight poverty amongst the most marginalized, such as the homeless, migrants etc. The programme, likewise, has a multi-faceted approach attempting to combat both social and economic issues. This program follows the 2014-2020 Programme for Social Inclusion, which had a similar multi-faceted approach, with a goal of removing 2,200,000 people in poverty by 2020.

The issue of poverty remains persistent in Italy, and, despite efforts by both domestic and foreign actors, there is still more to do.

– Sebastiano Brussato

Sebastiano is based in the United Kingdom and focuses on Politics for The Borgen Project.

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