The Caritas Cares 2023 report, unveiled today, unveils a stark reality: poverty and indebtedness are escalating in the Czech Republic, with the most vulnerable segments of society bearing the brunt of this crisis. Single mothers, the long-term unemployed, the elderly, and individuals grappling with mental health issues are among the most at-risk groups, as per the findings of the report, with the dire housing situation exacerbating their plight.

As the leading provider of social services for the needy in the Czech Republic, Caritas CR’s biennial reports serve as a vital barometer of the nation’s social landscape. This year’s report, which delves into the themes of poverty, lack of affordable housing, access to services, long-term care, and debt, underscores the multifaceted nature of the challenges confronting vulnerable communities. Drawing upon research conducted in June and July across Caritas counseling centers, shelters, and other facilities, the report offers critical insights into the pervasive nature of poverty and its far-reaching consequences.

High levels of indebtedness remain a pressing concern, with many Czech inhabitants struggling to meet their financial obligations. Caritas counseling centers report that a significant proportion of clients are mired in debt, with inadequate income thwarting their efforts to enter debt relief programs. According to Iva Kuchynkova, Caritas social manager, the post-COVID period has seen a decline in wages, further exacerbating the debt crisis, exacerbated by soaring energy prices.

Alarmingly, Caritas’s findings reveal that approximately 70% of counseling center clients are embroiled in debt collection proceedings—a 30% increase over the past year alone, indicative of the deepening financial distress faced by many. Moreover, the phenomenon of working poverty compounds the crisis, leaving individuals trapped in a cycle of precarity despite their labor.

The housing situation emerges as a critical flashpoint, with an estimated 150,000 people in dire need of housing and up to 1.6 million individuals at risk of losing their homes. Spiraling housing costs render shelter unattainable for many, exacerbating the cycle of poverty and indebtedness.

In the face of these challenges, Caritas emphasizes the urgent need for a comprehensive assessment of service availability and capacity, advocating for targeted interventions to address gaps and enhance support networks in local communities. The report serves as a clarion call for concerted action to alleviate the suffering of those most vulnerable, reaffirming Caritas’s commitment to championing social justice and equality for all.

Article by Prague Forum