Eurostat, the statistical office of the EU, reports that in 2022 total expenditure on social protection benefits in the EU reached approximately 4.307 trillion euros, marking a 3% increase from 2021. Notably, Cyprus experienced an 18% surge in social protection benefits expenditure during the same period, also increasing as a percentage of the country's GDP.

The increase in social protection benefits expenditure was observed in almost all EU countries with available 2022 estimates, which are reported on a voluntary basis by member states. Exceptions to this trend were Malta, with a 5% decrease, and Ireland, which saw no percentage change compared to 2021.

Significant increases between 2021 and 2022, measured in national currencies, were recorded in Bulgaria (+28%), Cyprus (+18%), and Hungary (+10%). Conversely, the smallest increases occurred in Austria (+1%) and in France, Denmark, Slovakia, Finland, and Germany, all registering a rise of +2%.

Most EU countries saw a rise in social protection expenditure in national currencies. However, when examining expenditure as a percentage of GDP, a decrease was observed in 2022. This trend is attributed to GDP growth outpacing the increase in social benefits expenditure, reflecting a rebound from the negative impacts of the COVID-19 pandemic.

In 2022, social protection benefits expenditure represented 27.2% of the EU’s GDP, marking a decrease of 1.5 percentage points compared to 2021.

Between 2021 and 2022, social protection benefits expenditure as a percentage of GDP decreased in all EU countries with available early estimates, except in Cyprus, Bulgaria, and Luxembourg. In these countries, there was an increase: Cyprus saw a rise of 1.4 percentage points to 23.2% of its GDP, Bulgaria a 1.2 percentage point increase to 19.5%, and Luxembourg a 0.1 percentage point increase to 21.6%.

The most significant decreases were observed in Malta (-2.8 percentage points), Austria (-2.6 percentage points), and Denmark (-2.2 percentage points).

Among the EU countries with available 2022 estimates, the highest social protection benefits expenditure as a percentage of GDP was in France (32%), Austria and Italy (both 30%), while the lowest was in Ireland (11%), Malta (15%), and Estonia, Lithuania, and Hungary (all 16%).

Old age and sickness/health care benefits formed the largest portion of social protection benefits across all EU countries with available data. Other categories included disability, survivors, family/children, unemployment, housing, and social exclusion not classified elsewhere.