Expensive start to school: GVH investigates suspected cartel

According to research by Regio Játék at the end of July, for families raising children aged 6-14, starting school means an average expense of 50-75 thousand forints, while for first-year students, the costs often reach 100 thousand forints. Bank360’s calculations are even more pessimistic: according to them, basic equipment now costs 83 thousand forints, and if we add a cheaper laptop to this, the total amount can even exceed 200 thousand forints. This cost accounts for more than half of the most recently published median net wage of HUF 391,000.

According to data from the Central Statistical Office, the average price of school supplies and stationery in July exceeded the previous year by 6.1 percent. Although this is much more moderate than the 25-30 percent price increase at the start of the 2022-2023 school year, the burden on families is still significant.

The high prices did not escape the attention of the Hungarian Competition Authority: the office has launched an investigation into several domestic retail chains and their suppliers on suspicion of anti-competitive agreements. According to the GVH, the start of school is a particularly important period in the paper and stationery market every year, where a significant part of the annual turnover is realized at this time. The aim of the investigation is to reveal whether contractual relationships and pricing practices between market participants do not violate competition law rules.

The new school year has therefore started with both psychological challenges for families and tensions in the market – it may become clear in the coming months whether the GVH’s proceedings reveal a violation of the law in the background.