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COST OF LIVING

Here’s how Paris costs much more than the rest of France

Daily life in Paris is on average almost nine percent more expensive than anywhere else in France, according to a new extensive study.

Here's how Paris costs much more than the rest of France
Photo: AFP
Perhaps it's no surprise that over one in two Parisians dream of leaving the city, according to a 2012 survey at least
 
Fresh stats published on Thursday by French statistics agency Insee found that daily consumer costs in the rest of France, or Les Provinces as the area outside the capital is known, were 8.8 percent cheaper than inside the capital. 
 
The agency noted that the figures took into account consumption patterns. 
 
The biggest difference, unsurprisingly, was in the cost of housing – which is 24.7 percent more expensive in Paris. The soaring rental costs alone in Paris were 49 percent more expensive, but the figure was brought down by the fact that other housing expenditures like garbage and maintenance were only six percent dearer.
 
The report also found that hotels and restaurants were around eight percent more expensive in Paris than the rest of France, that transport was almost six percent dearer, and “leisure and culture” was close to seven percent more costly.
 
Meanwhile food and non-alcoholic beverages were 6.4 percent more pricey, household furniture was four percent dearer, and “health” up at 6.5 percent more expensive. 
 
The only things that were around even were medicine and gas prices, and Paris was only a cheaper option when it came to buying cultural goods like computers, books and cameras. 
 
Of course, living outside of Paris means a much more spacious home for the same amount of money too, something the study didn't take into account.
 
French channel BFM TV spoke to a man who had left Paris to live in Normandy, and who for €250,000 had bought a 120-metre square home with a garden. The same amount of money would have got him a 30 metre squared flat in Paris, the channel noted. 
 
The former Parisian added that he noticed other glaring differences in day-to-day life, such as cinema tickets costing as little as €6 in Normandy, compared to as much as €11 in Paris, or a coffee on the terrace sinking from an average of €3.20 in Paris to just €1.40 in his new home town. 
 
Earlier this year a survey revealed how much more you could get for your money outside Paris when it comes to rent.
 
The survey compared statistics for 12 cities around France and found that Paris, unsurprisingly, was a rare exception when it comes to average apartment size. 
 
In fact, you can get an apartment almost twice as big for €624 if you choose to leave Paris and live in Nice, where you'd be able to score 29 square metres, meaning you'll probably have the luxury of having a separate bedroom.
 
And it only gets bigger from there.
 
Montpellier in the south saw an average size of 40m2 if you have €624 to fork out, while Lille and Marseille both recorded 41m2 as the size one could get for the national average rent price.

 
So why do the Parisians stick it out?
 
The obvious answer is that wages are higher in the capital. Indeed, a previous Insee study found that Parisians rake in between eight and ten percent more money each year than the rest of their compatriots. 
 
 
Renting: How far would your money go outside Paris?

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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.”

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