Household budgets across the OECD are barely keeping pace with inflation, as fresh data reveals income growth has slowed sharply just as GDP ticks higher, a divergence that is playing out very differently from one country to the next.
Real household income per capita in OECD countries increased by 0.2% in the first quarter of 2026, slowing from the 0.6% rise recorded in the fourth quarter of 2025.
Over the same period, real GDP per capita grew by 0.3%, edging up from 0.2% in the final quarter of 2025.
While GDP growth captures changes in overall economic activity, growth in household income reflects changes in the income households receive, that is, the income available for consumption or saving.
Of the 21 countries for which data are available, 13 recorded an increase in real household income per capita, while the remaining 8 saw a decline.
