Analytics, EU – Baltic States, Inflation, Markets and Companies

In 2011, price levels for consumer goods and services1 differed widely across Member States. Denmark (142% of the EU27 average) had the highest price level, followed by Sweden (128%), Finland (125%) and Luxembourg (122%), informs LETA/ELTA.

Price levels of 10% to 20% above the EU27 average were found in Ireland (117%), Belgium (112%) and France (111%), while the Netherlands (108%), Austria (107%), Germany and Italy (both 103%) and the United Kingdom (102%) had levels up to 10% above the average.

Spain (97% of the EU27 average) and Greece (95%) were just below the average, while Cyprus (89%), Portugal (87%) and Slovenia (84%) were between 10% and 20% below. Price levels between 20% and 30% below the average were observed in Estonia (79%), Malta (78%), the Czech Republic (77%), Latvia (74%) and Slovakia (72%), and levels between 30% and 40% below in Lithuania (66%), Hungary (64%), Poland and Romania (both 60%). The lowest price levels were found in Bulgaria (51%).

Price levels for food and non-alcoholic beverages in 2011 ranged from 67% of the EU27 average in Bulgaria to 136% of the average in Denmark. Differences in price levels between Member States were less for this product group than for total goods and services. For alcoholic beverages and tobacco, prices were lowest in Hungary (63% of the average) and highest in Ireland (163%). This large price variation is mainly due to differences in taxation of these products among Member States.

Clothing is one of the groups of products showing a smaller price variation among Member States, with Bulgaria 75% of the average) cheapest and Sweden (133%) most expensive. Consumer electronics is another group of products where prices differed less among Member States, ranging from 89% of the average in Poland to 125% in Malta.

Excluding Denmark (167% of the average), price differences among Member States were also limited for personal transport equipment, with levels varying from 83% of the average in Bulgaria to 122% in Portugal. For restaurants and hotels, price variations were more significant, with price levels ranging from 45% of the average in Bulgaria to 154% of the average in Denmark.