The year 2019 comes and with it a general rise in prices and the cost of living in Portugal, which will affect several sectors ranging from food to tobacco through tolls .. This increase in the cost of living in Portugal is the consequence of the rise in taxes, inflation, minimum wage and the price index which are evaluated by the Government of Portugal. The price of rents, mobile phone packages as well as transit passes increase for the new year 2019 in Portugal and it will take into account when calculating its budget to live in Portugal. What are the price increases planned for 2019? What will be the cost of living in Portugal in 2019? Lisbob, expats assistant in Portugal, tells you all about the 10 things that will become more expensive in Portugal in 2019 and have an impact on the cost of living.
1 - Accommodation
In 2019, the price of rents in Portugal will increase by 1.15%. This increase is greater than in previous years:
2019 - 1.15%
2018 - 1.12%
2017 - 0.54%
2016 - 0.16%
The cost of living in Portugal's large cities is much higher than in the interior regions, and rent is a major item of expenditure in the budget. So be careful of the bad surprise.
2 - Public transportation
The prices of public transit passes will increase by 1.14% and this will impact the cost of living in Portugal and especially in large cities like Lisbon and Porto.
However, in 2019, a new single ticket will be created in Lisbon and Porto. The cost is 30 € for transport in a municipality and 40 € for travel between municipalities. Children up to 12 years old can travel for free.
3 - Inspection and technical inspection
Car inspections will also become more expensive, although the increases are only a few cents. Here are the new prices to pay for the technical inspections in Portugal and the cost of living repercussions:
Type of control
Price + VAT 23%
Motorcycles, tricycles and quadricycles
Trailers and semi-trailers
Reinspection of inspections
Foreign car registration
Extraordinary by accident
Second copy of the certificate / inspection certificate
For more information on the technical inspection in Portugal you can consult our offered chapter of "Driving safe and in good standing in Portugal".
4 - Tobacco
The price of tobacco and cigarette pack in Portugal is expected to increase by € 0.10 due to a 5 cents increase in the tax paid by cigarette producers, but this should be offset by a larger increase in the price of cigarettes. purchase of the cigarette pack by consumers. The cost of living in Portugal for smokers will see a small increase.
5 - IUC and ISV
The single circulation tax IUC and the ISV tax on vehicles should increase by 1.3%. The IUC is the Imposto Unico de Circulação and can have a big impact on your cost of living in Portugal. The respective tables will be updated according to the Car Pollutant Measurement System (WLTP).
In order to reduce the tax impact of this update, reductions in the C02 component are planned for the calculation of the ISV and reductions in values for the calculation of the tax on car stamps. Beware however for the ISV and for those who wish to register their car in Portugal in 2019 : the amount of the ISV for diesel vehicles will increase significantly, up to 70% tax increase. It is therefore important to check if you can be exempted and entrust the steps to professionals.
6 - Telecommunications
Telecommunications are expensive in Portugal, and the service limited. This is a major expense for the budget of people living in Portugal. Bad news, telecom operators NOS and MEO reported that they would increase the prices of their services in 2019. MOE has already made available the new price list. So far, Vodafone has not announced an increase, but we can expect an increase in the cost of life in Portugal in this area.
7 - Bread
Due to a sharp rise in the price of flour (poor harvest and high demand), the price of bread will also increase in 2019. All your preferred Portuguese specialities will see their price rise in 2019, and cost of living in Portugal will become a bit higher. But we are sure it’s not this that will stop you to eat a good pastels de nata.
8 - Tolls
The price of Portuguese tolls will increase by 0.88% in 2019 due to inflation. The price of Portuguese tolls, which belong to private concessionaires, is part of the claims of the yellow vests in Portugal, the amarelos coletes.
9 - Sweet drinks
The famous sugar tax exists in other European countries and Portugal has already applied it for a few years. In 2019 this tax will be strengthened. Indeed, sugar drinks will be more expensive because of the increase of taxes to which they are subjected. Refrigerants of less than 25 g per liter pay € 1 per 100 liters, between 25 and 50 g per liter pay € 6 per 100 liters, between 50 and 80 g per liter pay € 8 per 100 liters and with more than 80 g per liter pay 20 € per 100 liters.
For example a can of Redbull will cost € 0.77 more from 2019 in Portugal.
10 - Plastic bags
The war against pollution and waste also involves increasing the price of plastic bags. The price of plastic bags in Portugal will increase from 0.08 € to 0.12 €. The value with VAT is set at 15 cents. The purpose of this measure is to dissuade people from buying plastic bags and reusable bags.