Richer households continue to benefit most from government spending but their share of total government outgoings is declining, according to new research from the government’s socio-cultural advisory group SCP.

The report analyses what happened to the €64bn spent by the government in 2007 and concludes 38% went to the top 30% earners (more than €36,400 a year).
But in 1991, richer households enjoyed 45% of total government spending, the research shows. The survey is carried out every four years.

Richest
The 2007 figures show that the richest households – 10% of the total with an income of over €75,500 a year – enjoyed €11,500 a year in government spending. They benefit most from mortgage tax relief and childcare benefits as well as spending on higher education, museums and culture.
Households on an average income of around €33,000 get €6,600 in extras and are also being squeezed, the SCP says. In particular, changes to the rent-controlled housing regulations will make it more difficult for people on average incomes to find cheaper housing, the SCP says.
Those on minimum incomes get €7,700, largely in the form of extra health and rent benefits, home care and tax exemptions.
The researchers say the share of government spending enjoyed by higher income households will continue to decline as the government slashes spending on childcare, the arts and culture and increases the cost of higher education.