Eurostat: Income Inequality Falls Slightly in the EU, While Romania Remains Below the European Average

Income inequality fell slightly in the European Union, while Romania remained below the European average, according to data published by Eurostat on Friday, October 23. In the statistical series for 2025, the EU’s Gini coefficient fell to 29.2 points from 29.4 in 2024. Romania recorded a decline from 28.0 to 27.3 points, in a ranking where differences between member states remain substantial.

In brief The EU’s Gini coefficient fell by 0.2 points, from 29.4 in the series for 2024 to 29.2 in the series for 2025. The indicator describes the distribution of disposable income after taxes and social transfers. In Romania, the coefficient fell from 28.0 to 27.3 points, 1.9 points below the EU average. The result indicates a more equal distribution of income than the European average, without showing how high those incomes are. Bulgaria recorded the highest inequality, at 37.7 points, followed by Latvia at 35.6 and Lithuania at 35.5. The lowest values were recorded in Slovakia, at 23.0, and Belgium, at 23.4. The 2025 series refers to income earned in 2024. Lithuania’s figure is provisional, while Slovakia has a break in the time series that limits comparisons with previous years. The European Commission shows that, for the same statistical year, 2025, the EU coefficient stood at 34.1 before social transfers, excluding pensions, and at 29.2 afterward. The difference does not represent a year-on-year decline. Lower inequality does not automatically mean reduced poverty, higher incomes for every household, or a more equal distribution of wealth. These aspects are measured separately.

For Romania, the 0.7-point reduction places the indicator 1.9 points below the European level. The comparison concerns how income is distributed within the population, not the gap between the income of a Romanian and that of a resident of a more prosperous country. A more equal distribution can also exist in a country where incomes are relatively low.

At EU level, Bulgaria recorded 37.7 points, followed by Latvia at 35.6 and Lithuania at 35.5. At the other end of the scale are Slovakia, at 23.0 points, Belgium, at 23.4, Czechia, at 24.0, Slovenia, at 24.6, and Poland, at 24.9. The 14.7-point difference between Bulgaria and Slovakia measures the distance between two inequality indices, not an income gap expressed in euros.

The ranking should be read together with the statistical notes. Eurostat marks Lithuania’s figure as provisional, while for Slovakia it notes a break in the time series in 2025. Slovakia’s figure may be included in the country comparison for that year, but its development compared with previous years should not be treated as a fully homogeneous comparison.

There is also a gap between the year indicated in the series and the period when the income was earned. The data come from the European Union Statistics on Income and Living Conditions, EU-SILC. The 2025 series uses income from 2024, while the 2024 series uses income from 2023. The release published now therefore does not describe the real-time income situation in autumn 2026.

The Gini coefficient is calculated based on household disposable income after taxes and social transfers, adjusted for the number and age of its members. The adjustment takes into account the expenses they share. The indicator ranges from zero, representing a perfectly equal distribution, to 100, representing maximum inequality. The higher the value, the more pronounced the income differences.

The European Commission’s 2026 report on employment and social developments in Europe also shows the contribution of social benefits. In statistical year 2025, the EU coefficient stood at 34.1 points before social transfers, excluding pensions, and at 29.2 after they were included. This is a comparison between two calculation methods for the same year, distinct from the annual decline from 29.4 to 29.2 points. The report also finds that the effect of transfers on inequality appears to have diminished after 2021, possibly partly because employment recovered after the pandemic.

Income inequality and poverty nevertheless remain distinct phenomena. The Gini index does not measure absolute income levels, material deprivation, or the value of wealth held by households. Its decline does not support the conclusion that every household earns more or that the number of people at risk of poverty has fallen. To assess living standards, income distribution must be considered alongside indicators of actual income and the risk of poverty.