A recent report by the Economic and Social Research Institute (ESRI) has highlighted a clear gap in living standards between the Republic of Ireland and Northern Ireland. The study shows that households in the Republic enjoy higher disposable incomes, longer life expectancy, and greater economic activity per capita.
According to the report, household disposable income in 2022 averaged €36,900 in the Republic, compared to €33,400 in Northern Ireland, a difference of 10.4%. Hourly earnings were also 29% higher in the South. Life expectancy, often linked to income, education, and access to healthcare, was longer in the Republic, with men living an average of 80.9 years and women 84.2 years, compared with 78.9 and 82.7 years in Northern Ireland.
Economic output per person showed an even wider disparity. Gross national income per capita in 2023 reached €63,500 in the Republic, almost double Northern Ireland’s €34,500, an 84% gap. Population growth over the past decade was significantly higher in the South, increasing 14.8% between 2015 and 2024, while Northern Ireland grew by just 3.9%.
In terms of economic performance, the Republic’s domestic economy expanded by 3.2% in the 12 months to June 2025, slightly outpacing Northern Ireland’s 2.8% growth over the same period. Employment increased in both jurisdictions, with the Republic adding 63,900 jobs, a 2.3% annual rise, and Northern Ireland gaining 20,640 jobs, a 2.5% increase.
Co-author of the report Adele Bergin said the data highlight ongoing differences in income and economic activity. “Northern Ireland continues to show lower levels of disposable income compared to Ireland, and also lower levels of educational attainment, labour force participation and export intensity,” she said. She noted, however, that both regions experienced similar employment growth over the year ending Q2 2025.
Labour force participation, which measures the proportion of people actively engaged in the workforce, was higher in the Republic at 78.5%, with an employment rate of 75.1%. Northern Ireland recorded slightly lower figures, with participation at 75.7% and an employment rate of 74.3%. Interestingly, Northern Ireland maintained a lower unemployment rate of 1.8%, compared with 4.4% in the Republic.
The ESRI report, titled Assessing Economic Trends in Ireland and Northern Ireland, is part of a collaborative research programme with the Shared Island Unit in the Department of the Taoiseach. The findings provide a comprehensive snapshot of the economic and social differences across the island, underscoring the persistent gap in living standards between the two jurisdictions.
The study also highlights how demographic and economic growth in the Republic is outpacing Northern Ireland, reinforcing the South’s position as a higher-income, more economically active region while pointing to areas for policy focus in the North.
