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You are here: Home / cat / Hungary’s Pension Crisis: Older People Struggle to Make Ends Meet

Hungary’s Pension Crisis: Older People Struggle to Make Ends Meet

Dated: January 14, 2026

The Hungarian government is failing to uphold the rights of older people to social security and an adequate standard of living, including access to sufficient food, medicine, and energy. Sharp inflation in 2022 and 2023 exposed longstanding structural weaknesses in the pension and social security system, highlighting the urgent need for reforms to address rising poverty among older people. Human Rights Watch has called on the government to urgently review pension levels and increase the lowest pensions in line with human rights obligations.

Official data show that about two million people received age-related pensions at the end of 2024, with more than two-thirds below the monthly gross minimum wage of 266,800 HUF (€676). Nearly a quarter of pensioners, around 471,000 people, receive pensions below the official poverty threshold of 173,990 HUF (€441), disproportionately affecting women. Interviews with older people in Budapest and rural communities revealed that many struggle to afford basic necessities, including food, heating, and medication, forcing them to make difficult choices to survive.

The at-risk-of-poverty rate for people aged 65 and over rose sharply from 6.3 percent in 2018 to 16.1 percent in 2023, with nearly one-in-five older women affected. While inflation drove up the prices of essential goods such as food and energy, government interventions like gas price management and partial food price controls in 2023 and 2025 proved insufficient, as vendors raised prices of uncapped items to compensate.

Structural issues in the pension system exacerbate inequality. Low pensions lose value faster than higher ones due to flawed indexation, and many older people receive inadequate benefits because of interrupted or low-paid employment, informal work, or historical disparities in earnings. Women are particularly affected, as they often have lower pensions and longer life expectancy, resulting in higher poverty risk. Government initiatives such as the 13th and 14th month pensions, and one-off food vouchers, have provided limited relief but fail to address fundamental inequities.

Human Rights Watch interviews illustrate the lived realities of older people surviving on meager pensions. Many reported reducing food intake, limiting heating, and skipping medication to cope with rising living costs. Pensioners highlighted the unfairness of a system where decades of work do not guarantee a dignified retirement, and where additional support is often insufficient or restrictive, such as meal vouchers that limit choice.

International human rights and European social rights standards obligate Hungary to provide adequate social security and ensure an adequate standard of living for older people. Despite being a party to treaties such as the International Covenant on Economic, Social and Cultural Rights and the EU Charter of Fundamental Rights, Hungary has not taken sufficient action to meet these obligations. Structural problems in pension design, lack of gender equity, and inadequate benefits for those in informal employment undermine older people’s rights and leave many in poverty.

Human Rights Watch recommends that Hungary urgently raise the lowest pensions, address structural inequalities in the system, and ensure all older people can access adequate food, energy, and healthcare. Without meaningful reform, older Hungarians will continue to face difficult trade-offs between essential needs, living in poverty despite decades of work.

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