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25 May 2022

Longford languishes on second last rung of average disposable income ladder

Longford languishes on second last rung of average disposable income ladder

Longford languishes on second last rung of average disposable income ladder

People in Longford have less disposable income that most other counties in the state, according to the latest figures from the Central Statistics Office.

Longford languished second from the bottom of the income table with only people in Laois recording lower levels of disposable income.

The figure for Longford was €16,865 per person in 2019 and Laois €16,780. Another midlands county, Offaly is third lowest on €16,908. 

The average level of disposable income in the entire country was €22,032.

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The Midlands was the only region in the state to record a decrease in average disposable income between 2018 and 2019.

The Dublin NUTS3 region (Dublin city and county) had the highest average disposable income per person in 2019. At €25,696 it was 16.6% higher than the state average of €22,032 and increased approximately 5.3% on its 2018 value of €24,399.

In 2018 Dublin had an average disposable income per person €24,399 making it 15.3% higher than the state average of €21,153.

Of the remaining seven NUTS3 regions in 2019, only the Mid East at €21,914 (1.5% increase on the 2018 figure of €21,588)  the Mid West at €21,972 (4.7% increase on the 2018 figure of €20,986) and the South West at €21,835 (4.5% increase on the 2018 figure of €20,885) had an average disposable income per person on a par with the state average of €22,032.

The Border region with €18,524 (5.3% increase on the 2018 figure of €17,594) and the Midland region with €17,125 (0.4% decrease on the 2018 figure of €17,194) were lowest in 2019 at 15.9% and 22.3% respectively, below the state average of €22,032. 

In 2018 both regions were 16.8% and 18.7% respectively below the state average of €21,153.

The gap between the highest and lowest value of per capita disposable income, on a regional basis, increased from €7,205 in 2018 to €8,571 in 2019, due to Dublin regional incomes increasing by €1,297 (5.3%) while those of the lowest region, Midland, decreased by €69 (0.4%). Incomes in all remaining regions rose between 2018 and 2019.

Dublin continues to remain the only region with higher per capita disposable income than the state average during the entire 2010-2019 period while the Border and Midlands regions continue to earn significantly less than the state average.

In contrast, the Mid West, South West and Mid East regions showed incomes on a par with the state average during the same period.

While the county figures involve uncertainty, they do provide a useful indication of the degree of variability at county level. Dublin, Limerick, Kildare and Cork, in that order, are the only counties where per capita disposable income exceeded the state average in 2019.

At the other end of the spectrum, some counties have never had per capita disposable income greater than the state average during the entire period 2004 to 2019

Total household income is defined as primary income plus social transfers. Disposable household income is then this household income less taxes.

In the counties of Dublin, Kildare, Galway, Limerick and Cork, total primary income noticeably exceeded disposable income in 2019. These are the counties with high employment rates as indicated in the results of the 2016 Census.

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