In 2017, EU institutions adopted the European Pillar of Social Rights (EPSR) outlining principles in 20 social and labour policy areas. These include equal opportunities and equal access to the labour market, fair working conditions, social protection and inclusion, and in subsequent years became an important reference point for the development of labour and social law standards in the EU. In its 2021 EPSR Action Plan, the Commission set out three key objectives on employment, training and poverty reduction. Furthermore, a target has been established to address child poverty, seeking to decrease the number of children and young people at risk of poverty or social exclusion by five million before 2030. It is already foreseeable that the 2030 targets on poverty and child poverty reduction will be missed by a wide margin. Work on the EU's first Anti-Poverty Strategy had therefore already been part of in the Mission Letter to the Commission Vice-President Roxana Mînzatu. The strategy is now due to be presented by the Commission on 6 May 2026. A public consultation was held beforehand, with AK also contributing.

Poverty and the risk of poverty in Europe

Poverty is a complex problem with numerous causes and far-reaching consequences. Those affected often lack the resources to live in dignity. Many suffer from psychosocial stress, health problems and are exposed to discrimination and stigmatisation. In the EU, women, young adults, low-educated individuals and the unemployed are disproportionately at risk of poverty. Unemployment often leads to a vicious circle: it causes poverty, which makes it difficult to access further education and a network, which in turn makes it difficult to enter the labour market.

In 2019, around 95 million people in Europe were at risk of poverty or social exclusion. By 2030, this figure should have been reduced to around 80 million. However, this target is likely to be missed by a wide margin: in 2024, 93 million people were still at risk of poverty or exclusion, which corresponds to approximately one fifth of the total population of the EU. At almost 25% among children and young people under the age of 18, the figure was even higher. Although poverty or exclusion risk in the EU decreased slightly by 2024, in Austria the number rose to 1.53 million compared to the base year. In order to reduce child poverty, the European Commission adopted the European Child Guarantee in 2021, which aims to guarantee access to childcare, education, healthcare, nutrition and housing. It obliges Member States to invest part of their European Social Fund Plus (ESF+) resources in combating child poverty.

European Parliament own-initiative report: Call for budgetary resources to combat poverty

On 12 February 2026, the plenary session of the European Parliament adopted the own-initiative report on combating poverty by 385 votes to 141, with 53 abstentions. In the press conference prior to the vote, the European Parliament's rapporteur, João Oliveira (The Left), emphasised the importance of a holistic approach that takes into account the perspectives of people affected by poverty. In its resolution, the European Parliament has urged the Commission to recognise poverty as a breach of human dignity in its anti-poverty strategy and to aim for eliminating poverty by no later than 2035. Particular focus is to be placed on combating child poverty, for which the Parliament is calling for a separate budget of at least €20 billion. In addition, Member States should allocate at least 5% of the European Social Fund Plus (ESF+) to targeted measures against child poverty. In countries where the risk of poverty or social exclusion among children and young people is above the EU average, this figure should be at least 10%. Beyond that, the report highlights the importance of employment and points to the need for fair wages, equal pay for equal work, comprehensive care and counselling services, and improved worker protection. In addition, universal access to public services such as housing, food, water, health, energy and mobility should be guaranteed. Finally, the report urges increased political involvement by people living in poverty.

In her speech at the plenary session of the European Parliament, Commission Vice-President, Roxana Mînzatu, also praised the own-initiative report as an important contribution to the development of the Anti-Poverty Strategy and pointed to overlaps with the Commission's work on poverty reduction. She highlighted five key elements: (1) the choice of a fundamental rights approach, (2) the aim of combating poverty throughout the entire life cycle and promoting intergenerational fairness, (3) the combination of a strong supportive and preventive approach, (4) a systemic approach that addresses poverty in all relevant social policy areas ranging from energy, transport and agriculture to digital, financial or justice policies, and (5) increased cooperation between different actors. On 24 February 2026, the Commission also held an implementation dialogue with representatives of the Member States, regions, social partners and civil society.

AK demands regarding an effective EU Anti-Poverty Strategy

In order for the EU Anti-Poverty Strategy to be truly effective, it must include concrete measures, including proposals for legally binding directives. AK calls for effective measures to combat wage and social dumping, as well as measures to strengthen social rights. This requires EU minimum standards for unemployment insurance and minimum income schemes, a European job guarantee for the long-term unemployed, and a Just Transition Directive to protect workers during the transition.

AK also calls for universal access to public services and emphasises the affordability of housing and energy. Initiatives to expand social housing should be supported by EU co-funding, and Member States must consistently implement EU guidelines on combating energy poverty. In order to secure funding for these measures, fiscal rules need to be reformed. These rules currently lead to austerity and cuts in social spending, which is in direct contradiction to the fight against poverty. Under the new EU financial framework, ESF+ funding must remain secured for social purposes.

Further reading:

AK EUROPA Position Paper: EU Anti-Poverty Strategy
AK EUROPA: Here to stay. The European Pillar of Social Rights
AK EUROPA: Towards strong minimum social standards for social progress in Europe
AK EUROPA: The Social Pillar and the future of the EU social agenda
AK EUROPA: New momentum for Social Europe
A&W-Blog: Österreichs 2030-Ziele im Rahmen der EU-Sozialpolitik [Austria's 2030 targets within the framework of EU social policy] (German only)
EU Parliament: Developing a new EU anti-poverty strategy
EU Commission: The European Pillar of Social Rights Action Plan