Germany's poverty rate hits highest level since 2020

Germany is facing a significant increase in poverty, with the poverty rate hitting its highest point since 2020, according to a report by the Paritätischer Gesamtverband. The number of people affected has risen to approximately 13.34 million, representing 16.1 percent of the population. This marks an increase of over 1.2 million people compared to 2023.

The report highlights that certain demographic groups continue to be most vulnerable. Single parents and the elderly remain disproportionately affected, alongside young adults aged 18 to 25 and individuals aged 65 and above, who face an above-average risk of poverty. The fundamental profile of those experiencing poverty has shown little change in recent years, according to the report, which cites figures from the Federal Statistical Office.

Following the European Union's definition, poverty is defined as living in a household with a disposable income below 60 percent of the national median net income. For a single individual in 2025, this poverty line was set at 1,445 euros net per month. This calculation includes not only wages but also state benefits such as housing allowances and child benefits. The Paritätischer Gesamtverband described the situation as a "sad record," emphasizing that poverty is increasing where structural disadvantages, such as low educational attainment or limited access to the job market, persist.

Regional differences in poverty levels are also stark across Germany. Economically strong states like Bavaria and Baden-Württemberg show the lowest poverty rates, at 12.6 percent and 13.2 percent respectively. In contrast, regions like Bremen (27.5 percent) and Saxony-Anhalt exhibit significantly higher rates, indicating deep-seated economic disparities within the country.