The European Union is preparing for a significant demographic shift as the population of its 27 member states is projected to peak in 2029. According to a report published Tuesday, the current population of 450.6 million is expected to grow to 453.3 million before entering a prolonged period of decline. By the year 2100, projections suggest the population will fall to 398.8 million, representing an 11.7 percent decrease and returning to levels not seen since the 1970s. READ ALSO: REVEALED – The countries in Europe that will buck the trend and grow in population.
This transition is largely driven by an ageing citizenry. Improvements in healthcare and social conditions have led to longer lifespans, with life expectancy at birth reaching 81.5 years in 2024. The Joint Research Centre of the EU executive predicts that by 2100, life expectancy could climb beyond 90 years for women and 86 for men. Consequently, the proportion of residents aged 65 or older is set to rise from one in five today to nearly one in three by 2050.
EU commissioner Dubravka Suica emphasized that while living longer is a major achievement, these demographic changes are fundamentally reshaping societies, economies, and labor markets. The shift presents substantial challenges, including increased pressure on education and care systems, strained public budgets, and potential labor shortages. However, the report also highlights the potential of the "silver economy," noting a growing market for goods and services tailored to older citizens.
To mitigate the impact of a shrinking workforce, the EU maintains that it must boost productivity and reduce unemployment. Currently, approximately 20 percent of working-age Europeans remain outside the labor force, and around eight million young people are not engaged in employment, education, or training. While researchers noted that migration could help offset some effects of Europe's demographic change, they cautioned that it would have a limited impact in fully addressing the challenges posed by an ageing population. Commissioner Suica stated that the bloc must act now to transform these demographic changes into an opportunity.
