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Which EU capitals have rents higher than minimum wages?

2026-05-11 08:20:00, Kosova & Bota CNA

Euronews Business takes a closer look at gross minimum wages and average rental costs across all EU countries and their capitals.

In many capital cities, even the minimum gross wage is not enough to cover rent.

Housing and utility bills are the largest category of expenses for European households.

According to the latest Eurostat figures, 23.6% of household spending in the EU goes on housing, water, electricity, gas and other fuels in the EU.

Rents make up a particularly large portion in large cities.

Most importantly, rent is a significant burden for those earning minimum wage, exceeding their monthly income in many European capitals.

So in which capitals does rent exceed the gross minimum wage? And what proportion of the minimum wage goes to rent in all European capitals?

According to an analysis by the European Trade Union Confederation (ETUC) based on EU data, the average cost of renting a two-bedroom apartment in the capitals of most EU countries exceeds the gross minimum wage.

In only five EU countries with a minimum wage does the monthly rent fall below the minimum wage. However, as Eurostat and ETUC figures are based on gross minimum wages, the actual burden on workers is likely to be even higher when net wages are taken into account.

Prague and Lisbon were hit hardest by rental costs

Minimum wage earners in the Czech capital suffer the most. In Prague, the average rent is 1,710 euros, while the minimum wage in the country is 924 euros. This means that an amount equal to 185% of the minimum wage is needed to afford a two-bedroom apartment.

Which EU capitals have rents higher than minimum wages?

Lisbon ranks second with 168%. In Portugal, the equivalent gross monthly minimum wage (paid over 14 months a year) is €1,073, while the average rent in the capital is €1,710.

The share of the gross minimum wage required for rent also exceeds 150% in Budapest (159%), Bratislava (158%), Sofia (154%), Athens (153%) and Riga (151%). This means that those earning the minimum wage will have to spend their entire salary on rent, and will still need more than half of their additional salary to cover it.

This share also exceeds 100%, meaning that even the gross minimum wage is not enough to cover rent, in Valletta (143%), Paris (138%), Tallinn (131%), Madrid (125%), Bucharest (122%), Warsaw (117%), Dublin (113%), Ljubljana (105%) and Vilnius (105%).

For example, in Paris, the average rent for a two-bedroom apartment is 2,523 euros, while the minimum wage in France is 1,823 euros. In Madrid, it is 1,721 euros versus 1,381 euros.

Brussels and Berlin, the best capitals for those earning minimum wage

In contrast, Brussels emerges as the best EU capital for those earning minimum wages to afford rent. Gross minimum wages cover 70% of rental costs there. In Brussels, the average rent for a two-bedroom apartment is €1,476, while the minimum wage is €2,112.

Berlin is second best at 76%. The share of the gross minimum wage required for rent is 85% in Nicosia, 87% in Luxembourg and 96% in The Hague.

Which EU capitals have rents higher than minimum wages?

"High housing costs and low wages are driving people into poverty and the economy towards recession," said ETUC general secretary Esther Lynch.

"The gap between rent and salary is completely unsustainable. When you add to this the rising costs of energy and food, working people are left with no disposable income and forced to borrow for their needs, making it impossible to save to replace essential household appliances or a visit to the dentist," she added.

Rent is more affordable nationwide than in capital cities

Compared to the capitals, the country averages give a better picture. In many countries, the gross minimum wage is sufficient to cover rent. However, rent still accounts for a significantly higher share of the average EU household expenditure on housing and utilities, at 23.6%.

Among a subset of 16 EU countries analysed in this ETUC comparison, the share of the gross minimum wage required to meet rent ranges from 33% in Poland to 61% in Malta.

In Poland, the gross minimum wage is €1,139, while the average rent is €376. France also performs better, with €1,823 versus €695. Greece could also be a good option for minimum wage workers outside Athens, with €1,027 versus €408.

In Spain, the minimum wage is 1,381 euros, while the average rent is 660 euros.

Which EU capitals have rents higher than minimum wages?

ETUC recommendations

ETUC calls for several policies:

All EU member states must fully implement the minimum wage directive, including strong action plans to truly promote collective bargaining, which will ensure that more workers receive a fair wage.

Governments should consider housing costs when determining whether minimum wage levels are appropriate.

Increasing public investment in social housing, including through EU investment tools and a review of state aid rules.

Minimum wages in 2026 vary widely across Europe, both in nominal terms and in purchasing power. Around 13 million workers in 21 EU countries earn the minimum wage or less, according to Eurostat. The percentage is significantly higher in some countries./ CNA