Household real consumption per capita decreases in euro area and EU

In the first quarter of 2022, household real consumption per capita decreased by 0.6% in the euro area, after decreasing by 0.9% in the previous quarter. Household real income per capita decreased in the first quarter of 2022 by 0.5%, after a decrease of 0.7% in the fourth quarter of 2021.

These data come from a detailed set of seasonally adjusted quarterly European sector accounts that is published by Eurostat, the statistical office of the European Union.

In the EU, household real consumption per capita decreased by 0.8% in the first quarter of 2022, after a decrease of the same magnitude in the previous quarter. At the same time, household real income per capita decreased by 0.6% in the first quarter of 2022, after another decrease of 0.6% in the fourth quarter of 2021.

Components of household gross disposable income

During the first quarter of 2022, household gross disposable income (in nominal terms, seasonally adjusted) increased by 1.8% in the euro area and by 1.7% in the EU. That increase is fundamentally explained by the large positive contribution of compensation of employees.

Household saving rate slightly increased in the euro area and the EU

In the first quarter of 2022, the saving rate increased by 0.1 percentage points (pp) in the euro area, and by 0.2 pp in the EU, compared with the previous quarter.

The household saving rate increased in seven out of fourteen Member States for which data for the first quarter of 2022 are published. The highest increases were observed in Denmark (+5.1 pp) and Belgium (+2.9 pp). At the same time, it decreased in seven Member States. Austria (-5.2 pp) had the largest decrease.

Household investment rate increases in the euro area and the EU

In the first quarter of 2022, the investment rate of households increased by 0.5 pp in the euro area and the EU.

Among the Member States for which data are published, the household investment rate increased in eight Member States, remained stable in three and decreased in another three. Germany (+0.8 pp) and Denmark (+0.7 pp) had the largest increases due to their large growth of household gross fixed capital formation (+8.2% and +13.7% respectively). In Poland, Hungary and Belgium the household investment rate decreased, due to household gross fixed capital formation growing at a slower rate than household gross disposable income.