Essential expenditure: This is the average value that families spend each year

Housing, food and transport are essential expenditures that absorb almost two thirds of household expenditure, according to data from Pordata. On average, portuguese families spend 23,900 euros per year. 

“ How much of the family budget is earmarked for essential expenditure? And what is the relationship between household expenditure and income available? In Portugal, housing, food and transport absorb almost two thirds of household expenditure“, explained Pordata, in a publication . 

These EUR 23,900 relate to average household expenditure, with 12% corresponding to transport, 13% to food and 39% housing, which is the largest share of spending. 

Moreover, “at the same time in 2024, one in five taxpayers declared incomes up to 625 euros per month, after discounting the IRS“. 

Increased cost of living: What is the impact on the Portuguese portfolio?

The portugal is the seventh population in the EU that has experienced the highest cost of living, with two out of three claiming that their purchasing power has fallen significantly in the last year, according to a survey released today.

According to this survey of the European Investment Bank (EIB), dedicated to the energy transition, 68% of respondents in Portugal claim that their purchasing power in the last 12 months has fallen significantly due to the rise in prices of natural gas, electricity, fuel and diesel for heating.

This is the seventh highest rate across the European Union (EU), above the European average (60%). The highest rate in the block is in Romania (80%) and the lowest in Malta (23%).

In addition to being those who feel the increase in the cost of living, the Portuguese are also among Europeans who have opted most to change the use of the car: almost two out of three (65%) admit that they now make fewer trips, drive slower to save fuel or opt for public transport more often.

This is the sixth highest rate across the EU, again above the EU average of 60%.

However, with regard to daily expenditure on food or health, the Portuguese are among those who have least altered their consumption habits: 34% of respondents claim that they have sought to reduce this expenditure, the tenth lowest rate among the 27 Member States and below the European average (38%).

With regard to the issues of the energy transition – the main focus of this survey – more than eight out of ten Portuguese (85%) consider it urgent for their country, with the vast majority (85%) pointing to the fact that it allows for less dependence on oil and gas imports.

Around 84% of respondents in Portugal also indicate that it will bring “stabler or lower prices” and another 79% a “climate change mitigation”.

Four years ago, in a survey by the EIB on the same subject, the main benefit of the energy transition mentioned by the Portuguese was that it allowed climate change to be mitigated. The reduction in oil and gas imports was only the eighth most mentioned benefit, while the fact that it allowed prices to be stabilised or lowered was not mentioned at all.