SHARE
COPY LINK

COST OF LIVING

Why Sweden is not as expensive as you think

Sweden has a global reputation for being an expensive place to visit, but results from a recent study reveal it is cheaper to live there than in France, Australia, the UK and even Venezuela, at least based on crowdsourced data.

Why Sweden is not as expensive as you think
Paying rent in Sweden may not be as expensive as you think. Photo: Image Bank Sweden
The study was carried out by Numbeo, a crowdsourced global database of reported consumer prices.
 
Overall, Sweden came 17th out of 119 global countries listed in the study and 12th in Europe.
 
Nordic neighbours Denmark, Finland and Norway were all deemed more expensive to live in than Sweden. Switzerland topped the list as most expensive country in the world, with India listed as the cheapest.
 
Numbeo, which bills itself as the world’s largest database of user-contributed data on costs and prices around the world, determined the difference in living costs between countries, taking into account the prices of groceries, transportation, restaurants and utilities. It used costs in New York City as the basis for comparison, with a score of 100. 
 
The study gives Stockholm's overall cost of living a score of  84.4, about 20% less than New York's score. 
 
According to Numbeo's data, you would need about 55,750 kronor a month ($6,807) to maintain the same standard of life in New York that you can have with 34,000 kronor in Stockholm, assuming you are renting in both cities.
 
Sweden came 35th in the list for rent, with a one-bedroom suburban apartment outside Stockholm listed at about 5,200 kronor, and an equivalent size in a city centre costing about 6,200 kronor a month. In Stockholm the prices were 5,600 kronor a month and 9,100 kronor a month respectively.
 
Even countries like Tanzinia and Azerbaijan were found to have higher average rents than Sweden.
 
Singapore was ranked the most expensive for rent, with Hong Kong a close second. 

 
Turns out dining out in Sweden may not be as expensive as you think. Photo: Image Bank Sweden
 
 
The study found that eating at home was also cheaper in Sweden than many other nations. It came 20th out of the 119 countries in the study on this measure, with countries including Ireland and Kuwait clocking in more expensive groceries.
 
Sweden was ranked 15th for eating out with a mid-range restaurant three-course meal for two costing about 550 kronor.
 
The full Numbeo study can be viewed here, and the map below from reveals an overview of living costs around the world.

Global Living Costs Map

For members

ENERGY

EXPLAINED: How high will heating bills be this winter in Germany?

The cost of energy is expected to rise again this coming winter, even though the government's price cap is supposed to be in effect until April 2024. Here's what households can expect.

EXPLAINED: How high will heating bills be this winter in Germany?

The onset of winter will raise concerns for many in Germany about the cost of heating their homes, with memories of last year’s rocketing prices and concerns over domestic gas supply resurfacing. 

But, compared to last year, the energy prices have now largely stabilised, though they are still higher than in 2021.

The stabilisation in prices is partly thanks to the government’s energy price cap which came into force earlier this year to cushion the blow of soaring energy prices by capping electricity costs at 40 cents per kilowatt-hour and natural gas at 12 cents.

READ ALSO: Germany looks to extend energy price cap until April 2024

The federal government plans to maintain this cap until the end of April, though this could be extended even longer, if necessary. 

How high are heating costs expected to go this year?

For the current year, experts from co2online expect somewhat lower heating costs than last year.

Heating with gas, for example, is expected to be 11 percent cheaper in 2023 than in 2022, costing €1,310 per year for a flat of 70 square metres. 

The cost of heating with wood pellets will drop by 17 percent to €870 per year, and heating with heating oil will cost 19 percent less and amount to €1,130.

According to co2online, the costs for heating with a heat pump will drop the most – by 20 percent to €1,1105. The reason for this, according to co2online, is a wider range of heat pump electricity tariffs.

Tax hikes in January

Starting January next year, the government will raise the value-added tax on natural gas from seven to nineteen percent.

Alongside this, the CO2 price, applicable when refuelling and heating, will also increase.

According to energy expert Thomas Engelke from the Federal Consumer Association, these increases will mean that a small single-family household with three or four people that heats with gas would then pay about €240 more per year for gas.

“That’s a lot”, he said. 

Another additional cost factor to consider is that network operators also want to raise prices. However, the federal government plans to allocate €5.5 billion to cushion this increase for consumers as much as possible, so how such cost increases will ultimately affect consumers is currently hard to estimate.

READ ALSO: Why people in Germany are being advised to switch energy suppliers

Overall, it can be said that, from January, consumers will have to brace themselves for higher energy costs, even though massive increases are currently not expected.

Consumer advocate Engelke advised customers to closely examine where potential savings could be made this upcoming winter: “Those who are now signing a new gas or electricity contract should inform themselves and possibly switch. Currently, you can save a few hundred euros. It’s worth it. On the other hand, you should also try to save as much energy as possible this winter.”

SHOW COMMENTS