Italy: cost of living

How fast are energy prices rising in Italy?

Regulated energy prices were 25.9% higher in September 2026 than a year earlier, and non-regulated energy prices 22.2% higher, according to Istat's provisional consumer price release of 30 September 2026. Energy was the main reason headline inflation rose to 4.2% from 3.3% in August.

Regulated energy covers tariffs for electricity and gas set for protected customers; non-regulated energy includes fuels and free-market electricity and gas. September figures are provisional and are confirmed in the final release.

Official sources: Istat: consumer prices, September 2026 provisional (PDF)

What is Italy's core inflation rate?

Core inflation in Italy, excluding energy and unprocessed food, was 1.7% in September 2026, up from 1.5% in August, according to Istat's provisional consumer price release of 30 September 2026. Inflation excluding energy alone was 2.0%.

Core inflation strips out the most volatile prices, so it shows underlying price pressure. In September it was well below the headline rate of 4.2%, which shows how much of the rise came from energy. The harmonised EU index (HICP) was 4.1%.

Official sources: Istat: consumer prices, September 2026 provisional (PDF)

How fast are food prices rising in Italy?

Prices of grocery and unprocessed food in Italy were 1.7% higher in September 2026 than a year earlier, up from 0.9% in August, according to Istat's provisional consumer price release of 30 September 2026. Unprocessed food alone rose 5.5%.

The grocery basket covers food, household and personal care products bought often, so it is closer to everyday shopping than the full index. In the final August figures, food and non-alcoholic beverages were 1.2% higher than a year earlier.

Official sources: Istat: consumer prices, September 2026 provisional (PDF) · Istat: consumer prices, August 2026 final (PDF)

How much have household utility bills risen in Italy?

Prices for housing, water, electricity, gas and other fuels were 9.1% higher in August 2026 than a year earlier, according to Istat's final consumer price release of 16 September 2026. Within that group, electricity, gas, solid fuels and heat energy rose 14.4%.

The housing division also includes rents, maintenance and water supply. It was the fastest-rising division of the index in August, ahead of transport at 6.1%. The figures use the NIC index for the whole nation, with 2025 = 100.

Official sources: Istat: consumer prices, August 2026 final (PDF)

What is the average household income in Italy?

The average Italian household had a net income of €39,501 in 2024, up 5.3% in nominal terms and 4.1% in real terms on 2023, according to Istat's living conditions and household income report. The median was €31,704, about €2,642 a month.

Half of households earn less than the median, which is less affected by very high incomes than the average. Istat notes that real average household income was still 4.9% lower than in 2007. The richest fifth of households received 5.1 times the income of the poorest fifth.

Official sources: Istat: living conditions and household income 2024–2025 (PDF)

How fast are prices rising in Italy?

1.5%: that is consumer price inflation in Italy for 2025, according to the IMF. The peak was 8.2% in 2022 and the low -0.1% in 2020. It is 43rd highest of 48 in Europe & Central Asia, where the median is 3.7%. Worldwide: 120th of 165.

How much do households in Italy spend per person?

In 2025, household consumption per person in Italy was $19,965, according to the World Bank. Since 2005 it has ranged from $17,271 (2020) to $20,084 (2007). It is 16th highest of 44 in Europe & Central Asia, where the median is $11,266. World rank, highest first: 20th of 124.

What is the extreme poverty rate in Italy?

In 2023, the share of people living on less than $3.00 a day in Italy was 0.9%, according to the World Bank. The peak was 2.1% in 2015 and the low 0.7% in 2022. Across Europe & Central Asia the middle value was 0.4%, and Italy placed 9th highest of 34. Of 59 countries with 2023 data, 29th highest.

What is the poverty rate in Italy?

According to the World Bank, the share of people below the national poverty line in Italy was 20.1% in 2021. The peak was 20.6% in 2015 and the low 18.4% in 2008. Across Europe & Central Asia the middle value was 15.9%, and Italy placed 14th highest of 40. Of 72 countries with 2021 data, 39th highest.

What is Italy's Gini coefficient?

According to the World Bank, the Gini index in Italy was 34.3 in 2023. Its high point since 2005 was 2017, at 35.9; its low point was 2007, at 32.9. Europe & Central Asia median: 31.5; Italy is 7th highest of 34. World rank, highest first: 27th of 59.

What is food insecurity in Italy?

The FAO puts moderate or severe food insecurity in Italy at 1.7% in 2024. It is 42nd highest of 45 in Europe & Central Asia, where the median is 7.6%. Of 135 countries with 2024 data, 132nd highest.