Postbank study: High cost of living dampens consumer sentiment – taxi industry feels the impact
Nearly half of the population (47 percent) still expects that their financial situation will develop positively – but the figure remains at the level of the previous year (48 percent). At the same time, the population is increasingly concerned about their expenses. The most common reason is the high cost of living (61 percent).
In particular, respondents with a monthly net household income of under 2,500 euros feel overwhelmed by the high prices – almost 70 percent report this; with higher incomes it is still almost 57 percent. Concerns also include building up reserves and retirement provision (35 percent). Ongoing costs such as rent or mortgage interest burden 21 percent of Germans. How expenditures for holidays and leisure activities (17 percent) can be financed and how existing debts (15 percent) can be repaid also pose challenges for many people. Only one in six (16 percent) is currently free of financial worries.
High cost of living, building up reserves and retirement provision
"After months of easing, prices are rising again: In September the inflation rate stood at 2.4 percent, and in October at 2.3 percent. Above all, higher prices for services and rising net rents (excluding utilities) are driving inflation. At the same time, the burdens of the exceptionally high inflationary phase of the years 2022 and 2023 continue to be felt. The high cost of living determines daily life for many people—and they weigh on mood, even though real wages and the labor market are actually sending positive signals," explains Dr. Ulrich Stephan, Chief Investment Strategist for Private and Corporate Clients at Postbank, about the current mood.
That this uncertainty also influences consumption is evident when looking at Christmas: While the majority plans to firmly commit to buying Christmas gifts, similar to last year (2025: 81 percent; 2024: 83 percent), budgets are shrinking significantly. One in three (33 percent) intends to spend less money than in the previous year. The number of respondents who plan less than 100 euros for Christmas gifts rises from 21 percent in 2024 to currently 25 percent. Only about 14 percent want to buy gifts worth 400 euros and more in the coming weeks – last year it was around 19 percent. 32 percent rely on savings for purchasing the presents and nearly 15 percent on special payments such as Christmas bonuses.
Germans want to spend less on Christmas gifts
The younger generation is significantly more optimistic than the rest of the population. 67 percent of 18- to 24-year-olds and nearly 64 percent of 25- to 34-year-olds look optimistically at their financial future; the population average is only 47 percent. One in three young people under 25 (33 percent) assesses their situation better than in the previous year (population average: 17 percent). They are also willing to give a little more generously: 21 percent of 18- to 24-year-olds want to spend more on gifts than in the previous year; among all respondents only about ten percent plan higher expenditures. Thus, the youngest age group sets a clear counterpoint in
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