Actual individual consumption per head in the UK: 2019

• Purchasing power parities (PPPs) are the rate of currency conversion that try to equalize the purchasing power of different currencies by eliminating the differences in price levels between countries.

• The Office for National Statistics (ONS) contributes to the European Comparison Programme, which is the regional International Comparison Programme for Europe, carried out under the auspices of the United National Economic Commission for Europe.

• The data presented in this release for all countries in Europe are produced collaboratively by Eurostat and the Organisation for Economic Co-operation and Development (OECD) Purchasing Power Parities Programme; harmonised methodology and surveys are used to create direct comparisons between countries.

• In previous years, the calculations were based on the reference EU28 = 100; in 2019 the calculations are based on the reference EU27 = 100, excluding the UK from EU countries.

In 2019, consumption per head in the UK, measured using actual individual consumption (AIC) per head, was equivalent to the seventh highest in the EU, equal to that of Finland and below the Netherlands and Belgium. This is according to new figures recorded by the Office for National Statistics (ONS) and compiled and released by Eurostat, the statistical office of the EU, on 15 December 2020.

AIC, which is a measure of material welfare of households, was 13% higher in the UK than the EU27 average; this compares with 15% higher in 2018.

Luxembourg was again the highest in the EU (35% above the EU27 average), with Bulgaria the lowest (58% of the EU27 average). AIC per head is often used as a measure of household material welfare; it consists of consumer goods and services consumed by individuals, irrespective of whether these goods and services are purchased and paid for by households, by non-profit organisations or by government (such as health and education) services.

Tables 1 and 2 detail EU, EU exit, European Free Trade Association, candidate and accession countries’ ranking per capita in 2019, by actual individual consumption and gross domestic product respectively.

In 2019, price levels for consumer goods and services differed widely across Europe. Price levels provide a comparison of countries' price levels relative to the EU average. Denmark has the highest price levels among EU member states, 41% above the average, while in Bulgaria, the price level was 47% below the EU average. The UK had price levels of 21% above the EU average.

After the transition period ends on 31 December 2020, the UK statistical system will continue to collect and produce our wide range of economic and social statistics. We are committed to continued alignment with international statistical standards, enabling comparability both over time and internationally. We will work with users of statistics to make sure they have the data they need to support the decisions they have to make.

As the shape of the UK’s future statistical relationship with the EU becomes clearer over the coming period, the Office for National Statistics (ONS) is making preparations to assume responsibilities that as part of our membership of the EU, and during the transition period, were delegated to the statistical office of the EU, Eurostat. This includes responsibilities relating to international comparability of economic statistics, deciding what international statistical guidance to apply in the UK context, and to provide further scrutiny of our statistics and sector classification decisions.

In applying international statistical standards and best practice to UK economic statistics, we will draw on the technical advice of experts in the UK and internationally, and our work will be underpinned by the UK’s well-established and robust framework for independent official statistics, set out in the Statistics and Registration Service Act 2007. Further information on our proposals will be made available in early 2021.