In 2013, Europe’s burgeoning inequality, ever underestimated by the EU, remained at  a  high level. The catch-up process of the poorer countries that had been observed until 2009 was scarcely making headway any longer due to austerity policy and weak growth. Even though domestic inequality had worsened in only a few countries – including Germany – since 2012, Social Europe’s pledge of cohesion remained largely unfulfilled. Only growth based primarily on rising incomes among poorer population groups can provide sustainable prosperity for all.