EUR
STG
The Minimum Essential Standard of Living (MESL) seeks to answer a simple question: “What do people need to live with dignity?”. This answer comes from the public, who, through deliberative focus groups, agree on the essentials for a decent life in Irish society. The annual MESL series captures changes in the cost of the minimum basket of goods and services needed for households in Ireland each year.
In 2026, the MESL analysis shows the impact of rising living costs on the cost of minimum needs, and assesses the degree to which income supports meet these costs. The research presents nuanced findings; many core income supports are meeting a greater proportion of need in 2026 than in previous years and there is a reduction in the depth of income inadequacy found in many cases. However, the majority of cases examined continue to show that income supports do not adequately meet minimum needs.
The cost of the MESL basket has increased by an average of 3.8% in the 12 months to March 2026, with cumulative growth of 23.6% since 2020. The most significant upward pressures are in Home Energy and Food, which comprise a third of the MESL expenditure basket:
Within Home Energy, the cost of heating fuels and electricity have risen at different rates:
The average rise in prices, as measured by CPI inflation, shows a similar 3.6% increase in prices in the 12 months to March 2026 and a cumulative increase of 24.9% compared to 2020.
The MESL provides a needs-based indicator for benchmarking the adequacy of income supports against the cost of the goods and services agreed as required to let people live with dignity.
Examining 145 test cases, the analysis finds that social welfare supports provide an adequate income for only one in five cases, with 35% of cases demonstrating deep income inadequacy (meaning income meets less than 90% of minimum needs).
This is a notable improvement since the peak of the cost-of-living crisis in 2023, when 75% of cases demonstrated deep income inadequacy, and one in 20 demonstrated an adequate income.
Our analysis has consistently found that households with older children (aged 12 and over) and single adult headed households have the greatest risk of deep income inadequacy when dependent on social welfare. This is still the case in 2026.
The 2025 MESL report reaffirms the value of a deliberative, evidence-based approach to defining and measuring what is required for a life with dignity in contemporary Ireland. Through extensive engagement with members of the public, the MESL research has once again demonstrated the enduring relevance of its methodology and the robustness of its findings.
Despite the evolving social, economic, and technological landscape, the core principles underpinning the MESL remain consistent: that everyone should have access to the goods and services necessary to meet their physical, psychological, and social needs, and to participate fully in society.
The report also sheds light on the persistent challenges of income adequacy. The MESL provides a benchmark for what is needed, the analysis reveals that many household situations, particularly when reliant on social welfare, continue to be at risk of income inadequacy. This is especially pronounced for single-adult households and families with older children.
Policy recommendations based on MESL research findings are presented to the government through submissions such as the pre-budget submission to the Department of Social Protection, the submission to the Low Pay Commission, and broader engagements with policymakers.
