Housing costs have risen by 45% over the past seven years and currently weigh 39.1% on the budget of Portuguese families, according to the Family Expenditure Survey, published yesterday by the National Statistical Institute (INE). In nominal terms, and considering that the average annual expenditure calculated by households in the 2022/23 biennium amounted to 24,190 euros, this translates into 9,452 euros, as well as an increase of 2,951 euros compared to the costs of 6,501 euros incurred in 2015/ 2016 were registered. .

In concrete terms, the growth observed during this period was 7.2 percentage points (pp) and is mainly explained by the increase in income and inflation, as the observed increase was higher than what would have happened if the average expenditure of households on housing had increased at the growth rate of the consumer price index,” which stood at 16.2% between December 2015 and December 2022, according to INE.

In the group ‘housing, water, electricity, gas and other fuels’, which amounts to the aforementioned 9,452 euros, the subjective rents, i.e. the rents that families expect to pay themselves, are the item that has contributed most to the increase in costs. 27.4% (6,626 euros) of the global budget, an increase of 7.3 percentage points compared to 20.1% (4,083 euros) seven years ago. After all, it is now another 2543 euros.

Effective rents, in turn, went from an average value of 520 euros and a weight of 2.6% to 786 euros and 3.2%, strengthening the respective contribution – the third largest – by 0.7 percentage points. Electricity, gas and other fuels remain the second most relevant expenditure group, albeit with a loss of absolute and relative importance compared to the period in comparison, with almost 100 euros less and a smaller contribution of 1.4 percentage points to the total costs .

INE data show that the two remaining groups (water supply and various services related to housing and maintenance, repair and security of houses) did not show significant fluctuations.

Food costs are falling

In contrast, as housing costs rose, the costs of food, clothing and footwear lost their relevance in the structure of household expenditure – a phenomenon that also extended, albeit on a smaller scale, to the category of transport and accessories, equipment and equipment. maintenance associated with the home, the statistical office informs. Although food products and non-alcoholic drinks have reduced their weight in the total budget from 14.3% to 12.9% over the past seven years, the costs have increased by 205 euros in absolute value.

Now around two-thirds of average household expenditure in the most recent biennial period – 24,190 euros – corresponds to costs related to housing (39.1% or 9,452 euros), food (12.9% or 3,119 euros) and transport (12 .4% or 3,001 euros). ). The restaurant and accommodation category ranked fourth on the list and represented 8.6% of expenditure, i.e. about 2071 euros – a relevant contribution –, while educational services were the last consumer item and only 1.3% of the family budget weighed (324 euros), surpassed by the alcoholic beverages, tobacco and narcotics group (1.6%).

However, average annual expenditure was not homogeneous across the country. An analysis by region shows that consumption was higher, compared to the national level, in the North region (25,057 euros), in the Lisbon metropolitan area (24,491 euros) and in the autonomous region of Madeira (24,363 euros), and lower in the Autonomous Region of the Azores (20,439 euros), where the consumption profile is more dispersed – while at national level, for example, transport accounted for 12.4%, and in this archipelago 15%.

Families with children spend an additional 8,861 euros annually

The Household Expenditure Survey 2022/23 also concluded that households with dependents spend an average of €30,700 per year, €8,861 more than families without dependents, who spend an average of €21,839. Spread from January to December, this means a monthly increase of 738 euros.

INE explains that the difference between households with and without children has mainly contributed to transport and housing costs, with the difference between the two types of households in both cases exceeding 100 euros per month. “The presence of dependent children in households also led to higher expenditure on food, catering, housing and education: 85 euros more, 79 euros more and 62 euros more per month, respectively,” it said.

In terms of the structure of average household expenditure, when there are dependent children, the higher weights of transport costs (3.2 percentage points more) and education (2.2 percentage points more) stand out, and, on the contrary, the smaller relative importance of housing expenditure (minus 7.9 pp).

Dinheiro Vivo journalist