Rising Income Inequality in Germany Fuels Middle-Class Anxiety

A recent study reveals that economic disparities have reached a new peak, heightening fears of downward mobility and diminishing trust in democratic institutions.

The Gini coefficient, a measure of income inequality, has risen to 0.31 in 2021, marking the highest level in over a decade.
Approximately 17.8% of Germans lived in poverty in 2021, with 11.3% experiencing severe poverty, highlighting a growing economic divide.
Economic pressures from the COVID-19 pandemic and inflation have exacerbated financial insecurity, extending concerns about maintaining living standards into the middle class.
The study indicates a significant decline in political engagement and trust in democracy, particularly among those experiencing poverty and economic precarity.
Experts call for strengthened social security measures, including enhanced labor contracts and pension systems, to address the widening social gap and restore public confidence.