EC issues report on challenges and opportunities of EU demographic transformation

"Europe's population is changing, and Europe’s policies must change with it. We are living longer, healthier lives than ever before – one of our greatest achievements. But demographic change is reshaping our societies, our economies and our labour markets, and we must act now to turn this transformation into an opportunity, " said Mediterranean Commissioner Dubravka Suica, who is also responsible for demography.

"This report provides the evidence to help Member States prepare for the future. Demography is no longer a standalone issue, it must be part of every major policy decision. By investing in skills, care, talent, productivity and regional cohesion, we can strengthen Europe's competitiveness, resilience and wellbeing for decades to come."

The report, drawn up by the Joint Research Centre, confirms that Europe's population is currently at its peak; with 450.6 million people today, the EU's population is projected to be around 445 million by 2050, and 398.8 million by 2100, representing an overall decrease of about 11.7%, to a level experienced in the 1970s.

Europeans are living longer, with life expectancy in 2024 reaching 84.1 years for women and 78.9 years for men. By 2050, almost one in three EU citizens will be over the age of 65, compared with one in five today.

At the same time, declining birth rates are putting pressure on the future financing of healthcare, education and pensions.

Suica said labour shortages could be partly addressed by bringing more women into the workforce, noting that 37 million women in the EU are currently economically inactive.

She also pointed to "well-managed migration" as another possible solution to labour shortages, stressing that she was referring only to legal migration.

Housing is another key demographic issue, the report said. Although housing policy remains a national responsibility, the need to address the housing crisis has become an increasingly urgent issue across EU member states.