First release for the third quarter of 2017 Household saving rate stable at 12.0 % in the Euro Area

The household saving rate in the euro area was 12.0 % in the third quarter of 2017, stable compared with the second quarter of 2017.

The household investment rate in the Euro Area was 8.8 % in the third quarter of 2017, compared with 8.7% in the previous quarter.

These data come from a first release of seasonally adjusted quarterly European sector accounts from Eurostat, the statistical office of the European Union and the European Central Bank (ECB).

Methods and definitions

The gross saving rate of households (household saving rate) is defined as gross saving divided by gross disposable income, with the latter including the change in the net equity of households in pension funds reserves. Gross saving is the part of the gross disposable income which is not spent as final consumption expenditure. Therefore, the saving rate increases when gross disposable income grows at a higher rate than final consumption expenditure.

The gross investment rate of households (household investment rate) is defined as gross fixed capital formation divided by gross disposable income, with the latter being adjusted for the change in the net equity of households in pension funds reserves. Household investment mainly consists of the purchase and renovation of dwellings.

The compilation of the European sector accounts follows the European System of Accounts 2010 (ESA2010) and covers the period from the first quarter of 1999 onwards.

Institutional sectors bring together economic units with broadly similar characteristics and behaviour, namely: households (including non-profit institutions serving households), non-financial corporations, financial corporations, government and the rest of the world. In the latter, to measure the external transactions of the euro area / European Union (EU), it is necessary to remove cross-border flows within the area concerned.

Eurostat’s website includes detailed annual and quarterly sector accounts of Member States of the European Economic Area and derived key indicators published around 120 days after each quarter (which also cover annual indicators such as debt-to- income ratios). A subset of quarterly key indicators is published around 94 days after each quarter.

Revisions and timetable

Compared with data released on 27 October 2017, the household saving rate for the second quarter of 2017 has been revised from 12.1 % to 12.0 %. The household investment rate for the second quarter of 2017 remains unchanged.

The final news release for the third quarter of 2017, focussing on data for household real income and consumption per capita for both the Euro Area and the EU, will be published on January 26, 2018. At the same time, the complete set of sectoral data will be updated in the dedicated section of the Eurostat website.

http://ec.europa.eu/Eurostat