Specific analytical support for the Social Protection Committee peer review meeting : minimum income adequacy, 4-5 July 2024 Riga, Latvia : synthesis report

Assessing the adequacy of minimum income benefits for individuals with low or no income is a timely topic, as vulnerable groups face increasing labour market fragmentation and precarious conditions amid economic downturn and inflation. In 2023, there were around 94.6 million people in the EU at risk of poverty or social exclusion, which was equivalent to 21.4 % of the total population. While poverty and social exclusion declined over the past decade, achieving the EU target set by the European Pillar of Social Rights Action Plan of a reduction of at least 15 million people at risk of poverty or social exclusion in the EU by 2030 will require more efforts. The various megatrends at play - such as the green and digital transitions, demographic change or growing polarisation in the labour market - may create further risks for lower-income households, hence also putting pressure on the design of minimum income schemes. To facilitate the exchange of national practices and experiences on this relevant topic, the Ministry of Welfare of the Republic of Latvia hosted a Peer Review on 4-5 July 2024 organised by the European Commission's Directorate-General for Employment, Social Affairs and Inclusion (DG EMPL). Representatives and experts from Latvia and seven peer countries (Belgium, Croatia, Cyprus, Lithuania, Poland, Slovakia, and Slovenia) convened to discuss measures and initiatives to ensure the adequacy of minimum income schemes and the sustainability of social protection systems. Representatives from the European Commission were also present.