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Economic monoculture turns the islands into Europe's most vulnerable region

The archipelago continues to lead Spain in poverty despite a slight improvement in social exclusion

Poverty in the Canary Islands is decreasing, but not enough. This is revealed by the report The State of Poverty in the Canary Islands 2025, presented on Friday by the European Network against Poverty and Social Exclusion (EAPN Canary Islands). The study warns that, despite a modest improvement in recent years, the archipelago remains the part of the country most affected by economic inequality. If it were an independent state, the Canary Islands would rank last in Europe in terms of well‑being.

The study, based on the European AROPE indicators, shows that 31.2 % of island residents – about 695,000 people – are in poverty or social exclusion. This figure represents a decline of 2.6 points compared with the previous year, yet it remains far from the European target of reducing the rate to 19.2 % by 2030. Five years before that deadline, the islands still face a gap of more than twelve points.

“We must move from temporary measures to coordinated, structural policies that guarantee income stability, access to housing, and solid public services,” said Fernando Rodríguez, vice‑president of EAPN Canary Islands, during the presentation in the regional parliament. “Without a sustained commitment from the administrations, achieving the European objectives will be impossible.”

Severe Poverty and Child Gap

  • 24.6 % of the population – roughly 550,000 people – live with incomes below the poverty line, set at €965 per household per month.
  • Within this group, 10.6 % (about 225,000 people) survive on less than €644, which is classified as severe poverty.

The situation is especially alarming for minors: four out of ten children and adolescents live in households at risk of exclusion. This is one of the highest rates in the country and, according to EAPN, “calls into question the social and educational future of an entire generation.”

Gender disparities are also evident: 25.6 % of women are at risk of poverty versus 23.6 % of men. Among those over 65, the rate falls to 23.4 %, thanks to the buffering effect of pensions and social benefits.

Housing, a Driver of Inequality

Access to decent housing emerges as the most decisive factor in the impoverishment of Canary households.

  • Rents have risen 68 % over the last decade, almost double the national average of 39 %.
  • 17.7 % of residents – about 400,000 people – have experienced delays in paying rent, mortgage, or basic utilities.

This price surge, combined with low wages and precarious employment, keeps a large portion of the population in chronic vulnerability. EAPN warns that recent economic growth “has not translated into a fair redistribution of wealth.”

Precarious Employment and Difficulty Making Ends Meet

The low‑intensity employment indicator – measuring households where work accounts for less than 20 % of labor potential – stands at 10.4 % (around 230,000 people). Although this improves on last year’s 14.3 %, it remains above the national average of 8 %.

  • 57.4 % of Canary Islanders (1.28 million people) report difficulty making ends meet, and almost one in two cannot cover an unexpected expense.

Structural Poverty

The report concludes that poverty in the islands is structural, linked to an economy heavily dependent on tourism and lacking productive diversification. Without redistributive policies, the poverty rate could rise to 47.3 %.

EAPN calls for:

  • Strengthening social assistance,
  • Guaranteeing decent incomes at every life stage, and
  • Promoting public policies that prioritize social cohesion over speculation and inequality.

“Economic progress is useless if it does not improve people’s lives,” Rodríguez reminded the audience. “The Canary Islands cannot resign itself to leading Europe in poverty.”