REAL household income per capita in the OECD increased by 0.1% in the first quarter of 2025, mirroring the growth in real GDP per capita (Figure 1). Both measures showed a slowdown in growth compared with the previous quarter, when they grew by 0.6% and 0.4%, respectively. Despite the overall growth in real household income per capita, the picture was mixed across OECD countries. Among the 20 countries for which data is available, half recorded a rise, and half recorded a fall. 

In the G7, most countries saw an increase in real household income per capita in Q1 2025. Income in Italy rebounded (1.0%) from a contraction in the previous quarter, supported mainly by remuneration of employees and net property income, while real GDP per capita also grew (0.4%). The United Statescontinued to grow (0.5%), primarily driven by remuneration of employees and government social benefits, while real GDP per capita fell (-0.3%). France and Canada saw milder increases (0.2% and 0.1%, respectively), while real GDP per capita also grew (0.1% and 0.4%, respectively). On the other hand, the United Kingdom and Germany recorded declines in real household income per capita (-1.3% and -0.4%, respectively), as consumer price inflation eroded nominal income growth (Figure 2), while real GDP per capita expanded (0.5% and 0.3%, respectively). The fall in real household income per capita in the United Kingdom followed a relatively large increase in Q4 2024, while in Germany it marked the second consecutive quarter of decrease.   

Among other OECD countries, Chile saw the strongest growth in real household income per capita (3.1%), as consumer price inflation fell and real GDP per capita increased (0.5%). Portugal saw the largest decrease (-4.5%), mainly due to a rise in taxes payable,with real GDP per capita also contracting (-0.6%). This rise in taxes came after a decrease in the previous quarter as a result of changes in the tax regime.