Finland: cost of living

How much does electricity cost in Finland?

The total price of electricity for household customers was 9% to 10% higher in June 2026 than a year earlier, according to Statistics Finland's energy price statistics. The price of the electrical energy itself rose 11% to 17%, network fees 4% to 8% and taxes 7%.

The total price combines the energy, the network service charge from the local grid company and electricity tax plus VAT, and it varies by contract type and house type, which is why Statistics Finland gives ranges. The consumer price index for September 2026 still showed electricity as one of the items holding inflation down over the year.

Official sources: Statistics Finland: Prices of heating energy, June 2026 · Statistics Finland: Energy prices

How much have fuel prices risen in Finland?

The consumer price of petrol was 20% higher in June 2026 than a year earlier, diesel 32% higher and light fuel oil 43% higher, according to Statistics Finland. Renewable diesel was up 30%.

Fuel prices have continued to push up inflation: in the September 2026 consumer price index, petrol 95 E10, diesel and heating oils were the items that raised consumer prices most over the year. Statistics Finland publishes average monthly prices of liquid fuels on its energy prices page; prices at individual stations vary and are not collected as official statistics.

Official sources: Statistics Finland: Prices of heating energy, June 2026 · Statistics Finland: Inflation in September 2026

What is the VAT rate in Finland?

The general VAT rate in Finland is 25.5%, according to the Finnish Tax Administration. A reduced rate of 13.5% applies to groceries, restaurant and catering services, passenger transport, books and some other items; until 31 December 2025 that rate was 14%. A 10% rate applies to newspapers and magazines.

Some sales are exempt from VAT, including health care and medical services. The reduced rate does not apply to alcohol or tobacco. The 25.5% general rate applies to most goods and services not listed for a lower rate; the Tax Administration's page lists examples and a VAT calculator.

Official sources: Vero: Rates of VAT

What is the poverty rate in Finland?

782,300 people, or 14.2% of the population living in private households, were at risk of poverty in Finland in 2024, according to Statistics Finland's income distribution statistics. That was 45,500 more than a year earlier. Among children, 137,400, or 13.8%, lived in households at risk of poverty.

The at-risk-of-poverty rate counts people in households with disposable income below 60% of the national median, adjusted for household size, so it measures relative low income rather than deprivation. Statistics Finland also reports that income differences widened in 2024: the Gini coefficient rose to 28.4, and real income in the lowest-income tenth fell 0.6%.

Official sources: Statistics Finland: Income differentials grew in 2024 · Statistics Finland: Income distribution statistics

How many people in Finland struggle with housing costs?

4.5% of people in Finland, around 248,300, were burdened by housing costs in 2024, down from 5.2% a year earlier, according to Statistics Finland. Housing costs took 17.4% of household net income on average, unchanged from 2023.

Statistics Finland counts a person as burdened by housing costs when the household is on a low income and its housing costs take more than 40% of its disposable income. Housing costs include rent or loan interest, maintenance charges, water and heating. The figures come from the annual income distribution statistics, which are based on tax and benefit registers.

Official sources: Statistics Finland: Persons burdened by housing costs, 2024

How fast are prices rising in Finland?

According to the IMF, consumer price inflation in Finland was 0.3% in 2025. Its high point since 2005 was 2022, at 7.1%; its low point was 2015, at -0.2%. Across Europe & Central Asia the middle value was 3.7%, and Finland placed 46th highest of 48. Worldwide: 146th of 165.

How much do households in Finland spend per person?

$23,216: that is household consumption per person in Finland for 2025, according to the World Bank. Its high point since 2005 was 2019, at $23,778; its low point was 2005, at $21,133. Across Europe & Central Asia the middle value was $11,266, and Finland placed 11th highest of 44. Of 124 countries with 2025 data, 14th highest.

How many people in Finland live on under $3 a day?

The World Bank puts the share of people living on less than $3.00 a day in Finland at 0.2% in 2023. It is the top of the series, which starts in 2005. It is 21st highest of 34 in Europe & Central Asia, where the median is 0.4%. World rank, highest first: 44th of 59.

What share of Finland lives below the poverty line?

12.2%: that is the share of people below the national poverty line in Finland for 2022, according to the World Bank. The peak was 13.8% in 2008 and the low 10.8% in 2020. It is 18th highest of 22 in Europe & Central Asia, where the median is 17.9%. Worldwide: 42nd of 52.

How unequal are incomes in Finland?

27.4: that is the Gini index in Finland for 2023, according to the World Bank. Since 2005 it has ranged from 26.8 (2014) to 28.3 (2007). Across Europe & Central Asia the middle value was 31.5, and Finland placed 26th highest of 34. Worldwide: 49th of 59.

What is food insecurity in Finland?

In 2024, moderate or severe food insecurity in Finland was 13.3%, according to the FAO. Its high point since 2015 was 2023, at 13.4%; its low point was 2018, at 7.7%. Across Europe & Central Asia the middle value was 7.6%, and Finland placed 9th highest of 45. World rank, highest first: 83rd of 135.