Europe's Boomer Generation Dominates as Young People Face Dim Prospects

Across many European cities, an increasing number of 30-somethings are still living with their parents—not by choice, but due to the growing difficulty of buying their own homes. Property prices across Europe have risen by approximately 25% over the past decade after adjusting for inflation, while rents have grown faster than wages. For those who bought homes decades ago, this surge represents wealth, whereas for new entrants to the workforce, the outcome is starkly different. Nearly a quarter of Europeans born in the 1980s are still living with their parents at age 30—a figure 50% higher than for those born two decades earlier. Homeownership once served as a gateway to financial independence. Now, for many, inheriting property seems a more realistic path. Old and Young In the past, Europe’s disparities were easily visible on a map: Western Europe was wealthier, while Eastern Europe lagged behind. After decades of growth in former communist states, this dividing line has shifted. Now, inequality is increasingly evident within families. Young people face soaring property prices and high taxes, while the cost of supporting an ageing population continues to rise. The European Union estimates that spending on an ageing population now absorbs around a quarter of the region’s GDP. Inequality is no longer just about wealth and poverty. It is increasingly about age. Who Bears the Burden? Most of Europe’s pension systems were designed when there were far more workers than retirees. In 1960, over five workers supported each retiree in Western Europe. Today, that ratio has fallen to around 2.5. The issue is not complicated: the number of contributors is shrinking while beneficiaries grow. In many European countries, today’s pensions are paid by today’s workers. The system worked well with growing populations, but as birth rates fall and societies age, the burden grows heavier. As a result, many young workers must save for their own pensions while still funding systems that support previous generations. An Ageing Politics Demographics are not only reshaping the economy—they are transforming politics too. In the last French presidential election, the median voter age was 52. Older citizens not only form a growing demographic but are also the most consistent voters. It is no surprise that governments find it easier to protect pension budgets than cut them. Conversely, education, innovation, and long-term investments often bear the brunt of austerity measures. Maxime Sbaihi of Club Landoy, a French demographic research institute, summarised the phenomenon in one sentence: ‘The future of democracy is increasingly decided by voters who don’t have one.’ A Bigger Problem It is easy to blame the baby boomer generation. But the problem extends beyond a single cohort. Europe faces a difficult combination of low birth rates, an ageing population, and rising pension costs. Boomers may symbolise this shift, but the root cause is demographic mathematics. Systems designed for a growing population now have to support an ageing one. Intergenerational Promise For decades, Europe’s welfare states were built on a simple promise: each generation would live better than the last. That promise is now being tested. As the workforce shrinks and the elderly population grows rapidly, maintaining the same standard of living is becoming increasingly costly. For many young Europeans today, the question is no longer whether they will live better than their parents. It is whether they can even achieve what was once considered a normal life.