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Minimum Wages Have Outpaced Food Inflation Across Most Of Europe — But Not Everywhere

Food prices have climbed sharply across Europe over the past five years. In most of the 26 countries examined by Euronews Business, however, minimum wages have risen even faster, giving workers greater purchasing power at the supermarket — at least on paper.

Food Inflation Has Remained Persistent Across Europe

According to Eurostat, prices for food and non-alcoholic beverages increased by 34% across the European Union between August 2021 and August 2026. The pace of inflation varied widely. Hungary recorded the steepest rise in the bloc at 57%, followed by Bulgaria at 54% and Romania at 53%. Cyprus saw the mildest increase, at 21%.

Looking beyond the EU, Switzerland posted the smallest increase among the 35 European countries in the comparison, at just 5%. Turkey stood apart entirely: food and non-alcoholic beverage prices surged by 752% over the same period.

Turkey Remains The Outlier

Turkey’s extraordinary rise reflects years of entrenched inflation, compounded by a steep decline in the lira that made imported goods and inputs significantly more expensive. That currency weakness was aggravated by a series of interest-rate cuts beginning in 2021, even as inflation accelerated. Lower rates reduced the currency’s appeal, adding further pressure to the exchange rate. Although Turkey reversed course in 2023 and raised rates sharply, prices continued to climb.

The picture is less dramatic but still significant across the EU. Food prices were already rising before Russia’s invasion of Ukraine in February 2022, and the war intensified the pressure by pushing up energy, fertiliser and transport costs while disrupting agricultural markets. Those higher input costs eventually filtered through to supermarket shelves.

Among Europe’s largest economies, food prices rose by 25% in France, 30% in Italy, 34% in Germany and 35% in Spain between August 2021 and August 2026.

Minimum Wages Have Grown Faster In Many Markets

Monthly gross minimum wages also increased over the same period in many countries with statutory minimum pay floors. In the EU, Hungary recorded the largest increase at 93%. Germany’s minimum wage rose by 46%, Spain’s by 29% and France’s by 20%, all measured in local currency terms.

Turkey again posted the most dramatic change among the countries compared, with minimum wages rising 823% over five years. Serbia and Montenegro also saw more than a doubling, at 103% and 102% respectively.

Pay Rises Do Not Always Translate Into Greater Purchasing Power

Higher wages, however, do not automatically mean workers can afford more food. The key measure here is not the difference between wage growth and food inflation, but how much food a monthly gross minimum wage could actually buy in August 2021 versus August 2026.

That distinction matters. A simple subtraction can be misleading, especially in high-inflation environments such as Turkey. Comparing purchasing power directly provides a clearer view of how workers’ grocery budgets have changed.

In three of the 26 countries examined, minimum-wage workers lost purchasing power relative to food prices. Malta saw the biggest decline, at 6%, meaning a worker who could buy 100 baskets of food in August 2021 could buy only 94 in August 2026. Spain followed with a 5% drop, while France recorded a 4% fall.

Where Workers Gained The Most

At the other end of the spectrum, Serbia and Montenegro saw the largest gains in food purchasing power, each at 37%. In practical terms, a minimum-wage earner who could afford 100 baskets of food in August 2021 could buy 137 baskets five years later.

Strong improvements were also recorded in Croatia, Albania, Romania, Hungary, Bulgaria and Lithuania, where gains exceeded 20%. Food purchasing power rose by 10% in Ireland, 9% in Germany, 7% in Greece, 6% in Belgium and the Netherlands, and 3% in Portugal.

Turkey’s Wage Growth Still Outpaced Food Prices

In Turkey, minimum wages increased by 823% while food prices rose by 752%. Although the gap between the two is 71 percentage points, the gain in food purchasing power was only 8%. That reflects the fact that wages and prices both rose sharply in lira terms, with wages increasing slightly faster.

The trend was not linear. Turkey’s minimum-wage workers lost ground at points in 2021 and 2022, when food inflation outpaced pay increases. Since January 2024, however, wage growth has stayed ahead of food price growth, leaving workers able to buy more food than they could at the starting point.

The broader lesson is clear: headline wage growth can look impressive, but purchasing power is what ultimately matters. For households living on the minimum wage, the real question is not how fast pay rises, but whether it rises fast enough to keep pace with the cost of food.

At WN Cyprus, 84% Of Showcased Game Teams Were Looking For Backing

While policymakers and business leaders discussed how the island could support more studios, 84% of the teams participating in the Developer Showcase were looking for an investor, a publisher, or both, according to organisers.

More than 20 teams presented projects at WN Conference Cyprus’26, held at Parklane in Limassol on 17 and 18 September. According to WN’s post-event figures, the conference drew 503 attendees from 251 companies, with 52% of participants holding C-level roles. The two-day event brought together developers, publishers, investors and technology companies for meetings, discussions and game demonstrations. It was WN’s fifth consecutive annual conference in Cyprus, where the organiser has held games industry events since 2018.

The funding needs revealed by the showcase gave added weight to one of the programme’s central questions: can Cyprus develop from a location for international company headquarters into a country where studios can also find talent, investment and support for new projects?

Dr Nicodemos Damianou, Deputy Minister of Research, Innovation and Digital Policy, discussed that question with Tanya Romanyukha, General Manager of TechIsland. Their conversation covered access to talent and finance, as well as the conditions needed for more studios to build and grow from Cyprus.

Investment decisions under pressure

The rest of the programme also reflected the difficult commercial environment facing game developers. Discussions raised the topics of cautious investment, layoffs, changing player behaviour and the effect of artificial intelligence on production and distribution.

In To Scale or Not to Scale: That Is the Question, Pavel Istomin, Publishing Game Producer at Hypercell Games, and Nikolay Shapovalov, Chief Publishing Officer at playducky.com, considered how studios decide whether to commit more money to a game or stop development. Phillip Black, co-host and co-author of Deconstructor of Fun, moderated the discussion, which focused on the market data and early performance indicators used in publishing decisions.

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A separate session examined how games can attract an audience before release. FLEXUS founder Semyon Kozyura joined Julia Lebedeva, COO and Partner at WN Media Group, to discuss Dear Passengers, which organisers said had accumulated three million Steam wishlists before launch.

Four teams also presented their projects to an industry jury during the Indie Pitch:

  • Through Your Eyes by Omeelia GmbH
  • Anicards by Dragocat
  • World of Sea Battle by THERA INTERACTIVE
  • Synvector by North Souls Games

The AWS Developer Showcase Awards distributed $7,500 in AWS credits. Mirrorbane, presented by Pavel Moskvin, received $5,000, while Midnight Watcher: Village, presented by Kirill Reznichenko, received $2,500. 

Six Cyprus Games Industry Awards announced

The Cyprus Games Industry Awards were presented during the WN Networking Party on 17 September. A public vote determined the shortlists before a jury selected the winners in six categories. Companies did not have to be founded or headquartered in Cyprus to qualify, but were required to have a presence on the island and contribute to its games industry.

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The 2026 winners were:

  • Growth and Marketing Partner: OHM Agency
  • Publisher of the Year: AppQuantum
  • PC Games Achievement: Heroes of Might and Magic: Olden Era by Unfrozen
  • Mobile Games Achievement: Standoff 2 by AXLEBOLT
  • People and Workplace Award: MY.GAMES
  • Game Commerce and Payments Partner: Xsolla and Unlimit

The awards covered game development, publishing and the companies providing marketing, employment and payment services to the sector.

WN has provisionally scheduled its next Cyprus conference for 4 and 5 November 2027.

For many of the teams showing their work in Limassol, however, the next milestone remained commercial. The application data indicated that more than four in five were still seeking the investment or publishing relationship needed to take their games further.

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