Financial Literacy Remains Low Across Europe as Household Savings Remain Outside Investment Markets

BRUSSELS, Belgium, August 10, 2026 — Only 18% of people in the European Union have a high level of financial literacy, according to the 2023 Eurobarometer survey. Another 64% have a medium level, while 18% have a low level. The figures show that financial knowledge remains uneven across Europe, with younger people and lower-income households disproportionately represented among those with weaker financial literacy. The findings also provide a strong reason for greater attention to financial education, including through the recognition of April as Financial Literacy Month.

Financial literacy is not limited to understanding terms such as interest rates or inflation. The OECD framework used for the EU-wide assessment considers three areas: financial knowledge, financial behavior and attitudes toward money. The 2023 survey tested financial knowledge through five questions covering investment risk, inflation, diversification, interest and bond prices. Respondents who answered at least three correctly were considered financially knowledgeable. The assessment also examined whether people track their spending, plan ahead and make considered financial decisions. Knowledge and behavior were given equal weight in determining the overall financial literacy score.

The Netherlands Shows Why the Numbers Matter

The Netherlands ranks among the strongest performers in the EU, alongside Denmark, Slovenia and Sweden. Twenty-eight percent of Dutch respondents achieved a high level of financial literacy, well above the EU average of 18%. Yet more than 70% of the Dutch population still falls short of that level. The data also reveal differences within the country, with younger people and those with lower income or educational attainment consistently recording weaker results.

Another finding is particularly relevant to financial decision-making: people tend to rate their own financial knowledge higher than their demonstrated knowledge. In other words, perceived financial understanding does not always match actual performance. That gap matters when households make decisions about saving, investing, borrowing and managing long-term finances.

The issue has also become more relevant as the European Union seeks to increase household participation in investment markets. On Sept. 30, 2025, the European Commission published its EU financial literacy strategy as part of the Savings and Investment Union. The strategy seeks to help citizens make better-informed financial decisions and direct more private savings toward productive investment. Europe has significant investment needs, while large amounts of household wealth remain in relatively low-risk bank deposits. Financial literacy therefore has implications beyond individual household finances; it also affects how private capital moves through the European economy.

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€487 Billion in Dutch Savings Accounts

Dutch household wealth illustrates the scale of the savings gap. At the end of 2024, households held €600.5 billion in current and savings accounts at Dutch banks, including €487.1 billion in savings accounts, according to De Nederlandsche Bank. By comparison, total household securities holdings, including equities, investment funds and bonds, amounted to €192.4 billion. Savings deposits were therefore more than two and a half times the value of invested assets. Research from the Dutch Authority for the Financial Markets indicates that only about one in four Dutch households actively invests.

The pattern extends across Europe. Approximately 70% of EU household savings, estimated at around €10 trillion, is held in bank deposits. European households save about €1.4 trillion each year, while roughly €300 billion of that money flows to markets outside the EU. The European Commission has identified limited financial knowledge and risk awareness as major factors behind low retail participation in capital markets.

That does not mean every household should move money from savings into investments. Savings serve an important purpose, particularly for emergency funds and short-term financial needs. The issue is whether people understand the available choices well enough to make decisions that fit their circumstances. When financial concepts, products or risks are difficult to understand, uncertainty can discourage households from considering investment options altogether.

Digital Finance Adds Another Layer

The growth of digital financial services has made financial literacy even more relevant. Consumers can now encounter savings accounts, investment products and financial information through websites, mobile applications and other digital channels. The European Commission’s financial literacy strategy recognizes the growing role of digital channels in financial decision-making while also noting that information overload and product complexity can create additional barriers.

For financial service providers, this makes communication an important part of the consumer experience. Digital access alone does not guarantee that people understand the products they are using. Information needs to be presented in a way that allows consumers to assess costs, risks, potential returns, and the implications of their decisions. Transparent choices and accessible financial information can make digital financial services easier to understand and use responsibly.

“Anyone working daily on savings and investment solutions in a digital context cannot avoid the question of financial literacy. We see directly how strongly trust is linked to clear communication and accessible choices. Without that, financial independence remains an abstract concept for too many people,” said Frank Schooneveldt, Managing Director of Akkuro Savings & Investments.

April’s recognition as Financial Literacy Month provides an opportunity to draw attention to these issues, but financial education requires more than an annual observance. The European data show a persistent gap between what people know, what they believe they know, and how they manage their money. The Dutch figures add another dimension: even in one of Europe’s strongest-performing countries, a large majority of people do not reach the highest level of financial literacy, while hundreds of billions of euros remain in savings accounts.

Improving financial literacy can give households a stronger basis for evaluating financial choices and understanding the consequences of those decisions. For Europe, the issue also extends to the wider goal of mobilizing private savings for investment. As digital finance becomes more prominent and the EU seeks greater participation in capital markets, financial knowledge will remain an important part of how households engage with the financial system.