The cost of living in Europe plays an important role when deciding whether to move, as it is not always affordable to live in the chosen country or city. It is important to compare your income level with the planned expenses in order to feel comfortable in the new environment. The cost of living in the EU is more expensive than, for example, in some Asian countries, as well as in the non-union states of Eastern and Central Europe. The higher standard of living of the local population is the reason for higher monthly expenses.

Small town life in the EU is often more attractive due to the quieter atmosphere, cleaner air and lower stress level compared to metropolitan areas. There is less noise and traffic, and prices for housing and basic services tend to be lower. In addition, small towns are easier to make personal connections and feel part of a community. At the same time, infrastructure and quality of life remain at a high level, and larger communities are often easy to reach thanks to a well-developed transportation system.

Housing costs

The main expense for immigrants when moving is the rent of housing, the cost of which depends on the location – in the city center or suburbs, in the metropolis or in the province. The price is also influenced by the number of living rooms and the general condition of the apartment or house.

Rental housing

For a clearer comparison, let’s look at Germany, France and Spain in terms of average rent, as well as the cost of rent in the capital and smaller cities:

Germany

The average cost of renting a one-bedroom apartment in the city center in the country is 901 EUR, in the suburbs such housing will cost 674 EUR. Two-room apartments are more expensive – 1 704 EUR in the center and 1 274 in the suburbs. Let’s consider the prices in Berlin, small Potsdam and Chemnitz, a small town:

France

Renting in France is slightly cheaper than in Germany, according to the average. A one-bedroom apartment per month costs 600 EUR in the suburbs and 773 EUR in the center. You can rent a two-bedroom apartment for 1,144 EUR in the suburbs and 1,447 EUR in the center. For a more detailed comparison let’s look at the prices in Paris, small Bourges and small town Lourdes:

Spain

You can rent housing in Spain is cheaper than in France, the average cost of a 1-bedroom apartment in the center of the country is 965 EUR, while in the suburbs – 734 EUR. A large two-bedroom apartment closer to the city center can be rented for 1 531 EUR, outside the city such housing is cheaper – 1 088 EUR. Let’s compare the average monthly fee in Barcelona, small Burgos and small town of Jaen:

Purchase of real estate

Buying your own home is a more profitable alternative to renting. Investing in real estate abroad will allow you not only to live in your apartment, but also to rent it out, if necessary, which will allow you to slightly recoup the cost of purchase. The average cost per square meter in Europe is quite high. For comparison we will again take the figures for Germany, France and Spain:

When buying real estate, it is worth remembering that real estate in large cities is significantly more expensive than in small towns, with tourism also being an important factor. Some small towns are located on the sea coast or in the mountains, where there are resorts. Here also quite high cost of rent and purchase of housing.

Utility bills

No less important item of expenditure when moving and long-term residence in the EU is the payment of utilities. The cost of energy increased in Europe back in 2022. The EU states are fighting against the sharp increase of tariffs for the population, mainly using the tool of price braking at the legislative level. Average utility tariffs in EU countries are as follows:

In Germany, municipalities charge a fee for the so-called rainwater tax on rainwater that enters the sewage system. The rate is 0.74 EUR per square meter of the area of the plot on which the residential property is located. Heating in the country is often realized by electric heat pumps and night heaters autonomously. The cost of electricity used to heat the houses is lower and is calculated according to the “night tariff”.

In France, people heat their homes with both electric boilers and gas boilers, so there is a dual charging system where energy consumption for heating is charged lower than for cooking. For example, the cost of gas used for heating is 0.10261 EUR per 1 m3. The tariff for cooking gas is 0.13759 EUR per 1 m3.

Water supply in Spain will become more expensive in 2025, a tariff increase of 50% is planned. The cost increase is aimed at motivating the population to consume water more efficiently, so for those who use up to 90 liters per person per day, the monthly payment will be around 16.54 EUR. Residents using more than 150 liters per day will pay around 39 EUR. The price of electricity in Spain depends on the time of day, with each hour the cost per kW changing from 0.059 EUR (3-4 am) to 0.2867 EUR (20-21 pm).

Food and groceries

The cost of food in EU countries is rising every year, but the highest rates were seen in the market between 2022 and 2023. Among the nations with the most expensive food are Switzerland, Iceland, Norway and Luxembourg.

Prices in supermarkets

It is worth noting that high rates of increase in the cost of food are characteristic of the countries of western Europe, while the eastern part, where the cheapest EU countries are located, remains in the segment even below the average for the union. For comparison, let’s look at a few states from different zones and their prices for basic products:

• Switzerland.
  The country is characterized by the highest food prices in the whole European Union. The average cost of 1 liter of milk is 1.87 EUR, 1 kg of vegetables can be bought for 2-5 EUR, a loaf of bread costs 3.48 EUR, and for a kilogram of meat it is necessary to pay from 27 EUR to 44 EUR.
• Latvia.
  Latvian supermarkets are much cheaper than Swiss supermarkets, especially the cost of meat – from 6.6 EUR for chicken fillet and up to 10.3 EUR for beef loin. For a kilogram of vegetables you have to pay 0.84-3.07 EUR, and for a liter of milk 1.17 EUR. A loaf of fresh white bread can be bought for 1.4 EUR.
• Italy.
  The cost of food in Italy is at the average level in the EU, but some groups of goods are noticeably more expensive than in Latvia. A kilogram of meat costs from 10.69 EUR to 17.21 EUR, a liter of milk costs 1.45 EUR. A loaf of bread will cost 2 EUR, while prices for vegetables will pleasantly surprise you – from 1.57 EUR to 2.83 EUR per kilogram.
• Netherlands.
  The country is on the low positions by the cost of products, most of the goods are cheaper than the EU average. You can buy 1 liter of milk for 1.1 EUR, and fresh bread costs 1.77 EUR. For 1 kg of meat it is necessary to pay 14-15 EUR, and vegetables are more expensive than in Italy – from 1.82 EUR to 3.41 EUR per kilo.
• Romania.
  The cost of food products in the country is one of the lowest in the EU. You can buy 1 kg of vegetables for 0.84-1.87 EUR, and a liter of milk costs 1.43 EUR. Prices for meat products are not high – from 5.91 EUR for chicken fillet and up to 9.46 for a kilogram of beef loin. Fresh white bread costs 1.08 EUR.

Restaurants

Visiting catering establishments is a significant expense, as EU residents often prefer to eat in cafes and dine in restaurants as an important part of their lives. Average prices in different countries are listed below:

• Switzerland – a lunch in an inexpensive restaurant can cost 26-27 EUR, while a dinner for two persons in a middle-class restaurant will cost almost 113 EUR;
• Latvia – a visit to an inexpensive cafe will cost 10 EUR, and a dinner for two in a middle-class restaurant will cost 55 EUR;
• Italy – a snack in an inexpensive restaurant will cost 15 EUR, while a dinner for two in a middle-class restaurant will cost 65 EUR;
• Netherlands – a lunch in an inexpensive cafe will cost 18 EUR, while a trip for two people to a mid-range restaurant will cost 80 EUR on average;
• Romania – a lunch in an inexpensive cafe will cost 9.04 EUR on average, and a full dinner for two people in a restaurant will cost from 40 EUR.

Transportation costs

Transportation expenses vary significantly across the EU, depending on the type of transport and the country. Let’s take a closer look at the costs.

Public transportation

The cost of public transportation, as well as food prices, is the highest in Switzerland – 3.75 EUR for one trip on public transportation. A monthly pass will cost almost 86 EUR. The most affordable prices are in the countries of the eastern region of the EU, for example, in Romania, where you have to pay 0.60 EUR for a trip on public transport and a monthly pass costs 18 EUR.

Personal transportation

The situation is similar in the motor transport market – the lowest prices for cars are observed in Eastern Europe, where a middle-class car can be purchased for 23 700-24 260 EUR, while in Italy, for example, the same car will cost 26 100-28 180 EUR. The price per liter of gasoline in the EU as a whole is almost the same and varies within 1.41-1.97 EUR.

In EU countries, when registering a car, you must provide a motor third party liability insurance policy, which is compulsory and valid throughout the entire territory of the association. This insurance covers bodily and material damage caused to someone, and an additional policy can be taken out to cover the costs of repairing your own car. The insurance costs about 400 EUR per year.

Renting bicycles and electric scooters

The cost of renting bicycles in the EU varies between 5-16 EUR per day, electric scooters and bicycles can be rented for 10-30 EUR per hour. You can rent a scooter in Italy for 65-70 EUR per day.

Medical services and insurance

The European Union countries ensure the functioning of the population’s health care system through compulsory health insurance. Employed EU residents and their employers make regular contributions to the state fund.

Public and private health care

The rate of insurance premium under the state program is determined as a percentage of income, monthly payment starts from 35 EUR, but can be higher depending on age and presence of chronic diseases.  The state insurance covers only basic medical services.

Many EU residents also buy additional policies from private companies, which allows them to choose insurance cases that the compulsory insurance does not cover. The amount of the monthly payment depends on the chosen package of services and may include dental care with the amount of coverage for 500 EUR. In Italy, the minimum package will cost 12.92 EUR, and in Bulgaria – about 179 EUR. Travel insurance for trips up to 90 days costs about 30 EUR per month.

Medical services for residents and foreigners

Citizens and residents of EU countries are entitled to free medical care in public hospitals, while foreigners can receive care through insurance or by paying for medical services themselves. Free services for foreigners include doctor’s visits, initial diagnostics, hospitalization and most medical products. Dentistry, cosmetology, complex surgical interventions are paid both for residents or citizens and for visitors.

Consultation with a doctor in Germany costs 13 EUR, in Spain the rate is higher – 48 EUR. If it is necessary to make an MRI scan of a limb, you will have to pay from 85 to 280 EUR. Surgical interventions are one of the most expensive services, on average a simple operation, for example, hernia removal, costs 1 500-3 000 EUR.

Other expenses

In addition to the main costs for housing and transportation, it is important to consider additional expenses that may arise during your stay. Let’s take a closer look at them.

Clothing and personal expenses

An important item of expenditure is clothing and footwear, the cost of which differs minimally from one EU country to another. For example, a pair of sneakers costs about 70 EUR in Romania, 85-89 EUR in Italy, Latvia, the Netherlands and Germany. For a pair of jeans, you should pay from 60 EUR to 80 EUR, and a woman’s dress in a chain store will cost 33-41 EUR.

Household goods and electronics are also sold in the EU at approximately the same prices, with large chain stores spread in the territory of the association, which also contributes to keeping prices at an optimal level. A 75-inch TV set costs from 800 EUR to 1700 EUR depending on the manufacturer. A flagship cell phone model 2024 will cost 1 450-1 500 EUR, and the cost of small household appliances, such as a toaster, varies between 30-70 EUR.

Entertainment

The cost of entertainment in the EU also depends on the city, as prices are always slightly higher in large population centers. Let’s take Germany, Bulgaria and the Netherlands as examples:

Education and children’s expenses

Expenses for kindergartens, schools and universities by EU countries are as follows:

Comparison of the cost of living in different EU countries

The cost of living in different EU countries varies considerably, as does the average salary level of the population.

Expensive countries

The most expensive countries to live in are Norway, Sweden and Denmark, where the main expenses are:

All costs are covered by the countries’ salaries, which are 3,406.32 EUR in Denmark, 2,650.97 EUR in Sweden and 3,121.78 EUR in Norway.

More affordable countries

Inexpensive European countries to live in, such as Portugal, Spain, Bulgaria, Romania, Slovenia and Spain, are characterized by these monthly expenses:

How to reduce the costs of living in Europe

Since living in the EU is quite expensive, it is important to learn how to save your budget. It is quite easy to reduce your spending on food – supermarkets regularly offer promotional discounts on different categories of goods. If you need to travel regularly by public transportation, it is more profitable to buy a travel pass, which will reduce costs several times.

After moving to the EU countries, the main major item of expenditure is housing rent, so it is better to choose small apartments in the suburbs, where the cost is significantly lower. It will also allow you to pay less for utilities, as the size of the housing also affects the size of the bills. There are many community initiatives that help save money and encourage wise spending of resources and finances, such as:

• energy efficiency – includes subsidizing the installation of solar panels and other renewable energy sources, financing the insulation of residential buildings and raising awareness of energy savings in the home;
• housing – providing affordable social housing for the low-income population, introducing housing cooperatives to reduce costs through shared ownership and management of houses, renovation and repairs of old stock to improve comfort and energy efficiency;
• transport – financing the development of public transport to reduce the need for personal transport, encouraging and promoting the use of bicycle transport, carsharing programs.

It is worth to mention that significant savings on accommodation are available to EU citizens, as they can use state aid in the format of social payments. EU residents also have access to free education and medicine, as well as priority in employment for highly paid positions. An EU passport opens up more opportunities to improve living conditions and makes it more affordable.

Assistance with Immigration to European Union Countries

Immigration to the territory of the European Union under the standard naturalization program seems to be a complicated and long process, which involves passing through numerous bureaucratic procedures and regular obtaining and renewal of residence permits.

In fact, there are simplified programs that allow you to legalize your residence on the territory of the EU and become a full-fledged citizen of the association. The EU passport will allow you to freely choose a country for permanent residence and employment, and it can be obtained through the repatriation program in Bulgaria, Slovenia or Romania.

The procedure takes up to 14 months, and you do not need to learn the language or comply with the requirements regarding the mandatory period of residence in the state. With the support of migration specialists, you will be able to become an EU citizen quickly and easily, as all processes, from the collection of documents to the moment of acquiring the status, will be under the control of lawyers. For more detailed information about the available methods of legal migration and selection of the optimal program, you should contact the Relocation Compass company’s specialists for consultation.