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  • Publication | 2020

Income distributions in the EU: gains, losses and convergence

Headlines

  • Between 2007 and 2014 income levels across Europe converged, to the apparent advantage of the poor. However, this convergence was mostly due to the `catching up' process in Central and Eastern Europe.
  • Within all three major geographic regions of the EU, income growth was weakest at the lower end of the income distribution.
  • As a result of EU-wide and region-specific changes, income levels in Southern Europe first converged towards and then diverged from the EU-wide income distribution, while those in Central and Eastern Europe steadily converged towards it.
  • Regarding income inequality, distributions of income in Central and Eastern and Southern Europe became very similar, both to each other and to the distribution of income in the EU as a whole; however, the gap between those geographic regions, and between them and the EU, remains sizeable in terms of income levels.