In 2016, the rise in household purchasing power stimulates consumption
In 2016, households enjoy an increase in their purchasing power: Their gross disposable income grows at a faster pace than in 2015, against a backdrop of virtually stable prices. They channel most of these purchasing power gains into consumption, which grows by 2.3% in volume terms compared with +1.4% in 2015. The household savings rate continues to fall (-0.4 points vs. -0.5 points in 2015), settling at 13.9%.
Vehicle purchases account for most of the increase in spending, confirming the recovery that began in 2015. Housing-related expenditure continues to rise, with heating costs remaining high. Communications-related consumption remains strong in volume terms, and spending on culture and leisure picks up pace. Food consumption increases at the same pace as in 2015, while consumption of financial services contracts.