Income inequality and child deprivation is fuelling disengagement from civic society

The stark choices facing thousands of parents today about whether to put food on the table, provide clothing for children, or whether to turn on the heat has been laid bare in the latest poverty, income inequality and living standards research.
The Economic and Social Research Institute (ESRI) makes clear that despite the strong national finances and talk of budget giveaways, the number of children materially deprived in our communities is increasing.
We know now that 230,000 children are living in such circumstances today, an increase of almost 30,000 since 2022. This comes amid a 3 per cent real (inflation-adjusted) decline in the average disposable income of households with children. After housing costs, the rate of child poverty has increased from 20 per cent in 2020 to 22 per cent in 2023.
Equally alarming in the latest research, which is part of a long-standing partnership with Community Foundation Ireland, is the polarising effect this is having. It seems entire communities are now disengaging from civic society, not just individuals and families. This leads to lower levels of life satisfaction, increased isolation and a breakdown in social engagement.
The researchers are clear that such realities add to the threat to social cohesion posed by polarising narratives on social media and anti-immigration protests.
Poverty, inequality and disadvantage go together – they are challenges that emerge hand-in-hand. At the Community Foundation we see and hear that every day from our 5,000 charitable partners working on the ground. Many of them will not be surprised by the research: our partner volunteers and community workers, who operate foodbanks, tackle loneliness and counteract fake news and lies, will tell you that behind the figures and percentages is a harsh reality faced by thousands of people.
Government will be quick to point out that the universal cost-of-living measures they introduced have provided vital support. It is true that those measures offer some comfort. It is, however, equally true that core welfare payments have not kept pace with inflation. The compelling case for targeted supports aimed at those who are increasingly being left behind was made by the researchers in last year’s edition of this report. Now they make the case again.
The proposal to introduce a second targeted tier of child benefit not only earned acknowledgment and praise from campaigners and media commentators, it was also spotlighted by former UK prime minister and now child rights advocate, Gordon Brown. It is estimated that measure alone could lift 40,000 children out of poverty. As the calendar counts down to the budget it is a measure that is surely worthy of further Government consideration.
That some of our communities are struggling again should come as no surprise. As well as identifying the issues, the researchers give us options to consider including the building and, in some cases, rebuilding of community infrastructure. Community spaces, parks, sports grounds, family resource centres and others can and do promote social interaction and the strengthening of communities, often with no cost to the participant. Unless we re-engage individuals, families and communities back into civic society, there is a danger of a spiral effect. Disengagement is not only isolating, it means you are no longer heard. When you do speak, those who hold power no longer listen. This adds to the sense of polarisation within society. As one example, we see this in terms of the impact of transition year. This is the period when most young people learn about how our country runs and the wider world. Yet in those communities with lower incomes teenagers are more likely to skip transition year, or to have left school without reaching it.
It is time to take a fresh look at how support can be provided to reinvigorate and reimagine community engagement. The Community Foundation has been a strong partner of initiatives aimed at rebuilding community spirit for almost 25 years.
In the upcoming budget we would encourage Government to be imaginative and commit resources to examine what role philanthropy can play as a partner of public funding, or alternatively by strategically acting alone. The Government does not have to go far to find the rationale for such an approach, indeed it would reflect the actions in its own first national policy on philanthropy published last December.
Over the coming weeks and months, we will hear a lot about the volatility of the electorate as we face a general election. The ESRI has spotlighted some of the root causes and why, in significant numbers, many people no longer see the relevance of elections or even democracy.
This research, perhaps more than others, gives us a roadmap to start the process of re-engaging those who feel sidelined, neglected or lost. We owe it to them to examine the proposals to inform next steps and to move towards a society that is truly equal.
Denise Charlton is chief executive of Community Foundation Ireland