Wealth Disparity in Europe: A Stark Contrast

The disparity in wealth across Europe is profound, with the wealth per adult in the EU’s richest and poorest countries differing by more than tenfold. This inequality has become a significant concern among EU citizens, as highlighted by the 2021 Eurobarometer survey, which identified equality of opportunities as the top priority for economic and social progress. Key issues include equal opportunities in the labor market, fair working conditions, and access to quality healthcare.

The Global Wealth Report 2023 by Credit Suisse and UBS underscores the extent of wealth inequality both within and between European countries. This report measures wealth per adult in terms of both mean and median values, revealing substantial economic disparities.

Wealth is defined as the total value of financial and real assets (primarily housing) owned by households minus any debts. Leading the wealth rankings are Switzerland and Luxembourg, with mean wealth per adult at €650,737 and €556,458, respectively. These countries’ financial strength is attributed to robust banking sectors, high-income levels, and favorable economic policies.

Other affluent nations include Iceland, Denmark, and Norway, with mean wealth per adult at $514,08, $422,95, and $397,55, respectively. These Nordic countries are renowned for their high living standards and comprehensive social welfare systems. Among Europe’s five largest economies, wealth per adult ranges from $228,39 in Italy to $322,13 in France, with the UK close behind at $312,38.

In stark contrast, several Eastern European countries show significantly lower wealth levels. Lithuania, Slovakia, and Hungary report mean wealth per adult at $71,74, $64,09, and $61,23, respectively, highlighting economic challenges such as lower wages and less developed financial markets. Bosnia & Herzegovina and Turkey sit at the bottom with mean wealth per adult at $34,66 and $18,13, respectively. Within the EU, Denmark’s wealth per adult is over nine times higher than Romania’s, illustrating significant economic disparities.

Median wealth, which the report suggests is a more accurate reflection of typical financial well-being, also shows stark contrasts. Iceland leads with a median wealth of $426,29 per adult, followed by Luxembourg at $37,65 and Belgium at $257,86, indicative of well-distributed wealth in these countries. Conversely, Turkey has the lowest median wealth at $5,66 per adult, with Serbia and Bosnia & Herzegovina also showing low median wealth at $16,98 and $17,0,  respectively, highlighting persistent economic challenges and lower living standards.

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