Lithuania: Consumers spending more on food, less at restaurants

Amid rising incomes and optimism about their financial situation, Lithuanians are spending more on food and non-essentials but are increasingly reluctant to dine out due to high restaurant prices driven by rising labour costs and the expiration of pandemic-era tax breaks, LRT reports. While supermarket food sales are boosting economic growth, restaurant turnover has fallen by nearly 10% in 2024. The catering industry is squeezed between higher taxes and labour costs, leading to calls for government intervention. Despite the challenging restaurant market, Lithuanians remain optimistic and are willing to spend on travel, home improvements, and other non-essentials.