GKI analysis: Why do Hungarian households live more poorly than anyone else in the EU?

By: Trademagazin Date: 2025. 06. 30. 13:03

Imagine that the residents of every EU country shop in a large supermarket! Everyone tries to put the same amount in their basket, but not everyone ends up buying the same amount. According to the latest Eurostat data, Hungarian shoppers have the fewest goods and services in their baskets in the entire EU. This is not very good news, but is there a way out of this situation? It gives reason to believe that there are things that can be changed so that we are not the last in the EU in terms of consumption. What are these?

The price hike must be stopped

In recent years, almost everything has become more expensive (food, utilities, fuel, etc.). Prices have sometimes increased faster than salaries. It is as if our basket is getting smaller and smaller, even though we work the same amount. If prices do not increase further, families can finally breathe a sigh of relief and do not have to worry every month about what they do not have.

You really should be able to live on your salary

Many people feel like: “I got a raise, but I still can’t make ends meet.” This is because money is worth less. The point is to make your salary go to more and more things – not just on paper, but in the store too.

The state should spend more wisely

The state spends a lot of money, but not always where it is needed most. If more support went to the lives of ordinary people (e.g., child care, doctors, housing), then more would be left in families’ pockets.

Taxes should be reduced

Now, when we go to the store, we have to pay 27% VAT on almost every product, which is one of the highest in the EU. This means that a fifth of our purchases go straight to the state. If they reduced this, life would be cheaper, especially for basic things like bread, milk, diapers, medicine, etc.