The number of families who received emergency financial assistance from the municipality where they live dropped in 2016 to its lowest level since the financial crash of 2008. The number of families who received financial assistance in 2016 was 5,858, 1,138 (16.3%) fewer than the year before.
Poverty increased following 2008 crash
Icelandic municipalities are bound by law to provide financial assistance to individuals and families who earn less than a minimum figure determined by the Ministry of Welfare. The assistance is intended as a last resort for people who have exhausted all other avenues, including their right to unemployment benefits or Social Security payments.
Read more: Icelandic society most tolerant and inclusive worldwide, world's third highest quality of life
The demand for this last resort assistance spiked after the 2008 financial crash, reaching a peak in 2013. Since then the number has been coming down rapidly.
Poverty still a problem for many
According to new figures from Statistics Iceland the households which received counted 9,697 individuals, including 3,317 children. This represents 2.9% of the total population of Iceland, and 4.2% of the children (17 years or younger) in the country. In 2015 the households which received emergency assistance counted 11,317 individuals (3.4% of population), thereof 3,3736 children (4.4% of all children in Iceland).
Most of the households receiving last resort financial support were single men without children. 42.2% of all recipients were single men living alone.
The average monthly payment to individuals who receive emergency financial assistance in 2016 was 134,486 ISK (1,283 USD/1,149 EUR).
The number of families who received emergency financial assistance from the municipality where they live dropped in 2016 to its lowest level since the financial crash of 2008. The number of families who received financial assistance in 2016 was 5,858, 1,138 (16.3%) fewer than the year before.
Poverty increased following 2008 crash
Icelandic municipalities are bound by law to provide financial assistance to individuals and families who earn less than a minimum figure determined by the Ministry of Welfare. The assistance is intended as a last resort for people who have exhausted all other avenues, including their right to unemployment benefits or Social Security payments.
Read more: Icelandic society most tolerant and inclusive worldwide, world's third highest quality of life
The demand for this last resort assistance spiked after the 2008 financial crash, reaching a peak in 2013. Since then the number has been coming down rapidly.
Poverty still a problem for many
According to new figures from Statistics Iceland the households which received counted 9,697 individuals, including 3,317 children. This represents 2.9% of the total population of Iceland, and 4.2% of the children (17 years or younger) in the country. In 2015 the households which received emergency assistance counted 11,317 individuals (3.4% of population), thereof 3,3736 children (4.4% of all children in Iceland).
Most of the households receiving last resort financial support were single men without children. 42.2% of all recipients were single men living alone.
The average monthly payment to individuals who receive emergency financial assistance in 2016 was 134,486 ISK (1,283 USD/1,149 EUR).
