Iran War Weighs on Eurozone Household Spending

The European Central Bank (ECB) has reported that the war in Iran is weighing on household spending across the eurozone.

In its Economic Bulletin, the ECB noted a sharp decline in consumer confidence as the main driver behind weaker spending.

The conflict's impact was comparable to the Russia-Ukraine war in early 2022, with a significant drop in consumer spending in April 2026.

Household consumption growth slowed from around 3-4% since mid-2024 to about 2.5% in April.