The expenditure on food accounted for a fourth of expenditure

In 2007, the average expenditure of a household member per month was 4,358 kroons or 17% bigger than in the previous year. Compared to the previous year, the expenditure on food increased 16%, influenced mainly by the rise in the prices of food. Compared to 2006, the share of food expenditure in household consumption has stayed on the same level; the purchased food quantities did not change either. The expenditure increased on milled products and vegetables (20% more on both) and on milk products (14% more).

The share of expenditure on transport and leisure time increased continually in household consumption. The share of compulsory expenditure showed a continuous trend of decrease — the average expenditure on food and dwelling per household member accounted for 39% or 1,695 kroons of the total expenditure. A year ago the share of compulsory expenditure was 40%.

The expenditure per household member increased in all expenditure groups. The expenditure on transport increased most (by a third). The expenditure on eating out, on clothes and footwear, on leisure time, on food and on dwelling also increased. The increase in transport expenditure was caused by the rise in fuel and diesel prices, by the purchase of used and new cars due to the better living standard. The increase in the expenditure on eating out was caused by the rise in prices of food products and in the prices of the corresponding services. The expenditure on leisure time increased because of the increase in package tour expenditure. The increase in the expenditure on dwelling was mostly caused by the rise in prices (e.g. more expensive heat energy). But in some groups the growth was remarkably small — the expenditure on communication services increased only 18 kroons and on healthcare only 8 kroons per household member compared to the previous year.

The growth rate of expenditure per household member was affected also by the increase in the income (22%). The income growth was caused by the increase of wages and salaries (25%) and pensions (16%). The slowdown of economic growth during the previous year has not yet had an effect on the rise of income.

The estimates are calculated according to the data of the Household Budget Survey conducted by Statistics Estonia since 1995. In 2007, about 3,400 households participated in the survey. The survey is carried out by statistical organisations of all European Union Member States on the basis of the harmonised methodology. Household is a group of persons who live at the same address and share joint financial resources and whose members consider themselves to be members of one household, while family is based on relationship or kinship.