EU environmental tax revenue rises 6.1% to €371.9 billion in 2024

Environmental tax revenue in the European Union totalled €371.9 billion in 2024, compared with €350.4 billion in 2023, representing a 6.1% increase of €21.4 billion, according to data released by Eurostat (ec.europa.eu/eurostat).

Despite the absolute rise, the share of environmental taxes in the EU’s gross domestic product declined from 2.5% in 2014 to 2.1% in 2024. Over the same decade, environmental tax revenue as a proportion of total government revenue from taxes and social contributions fell from 6.1% to 5.1%, Eurostat reported (ec.europa.eu/eurostat). The detailed Statistics Explained article notes that the 2024 figure equates to 2.1% of GDP and 5.1% of total tax and social contribution revenues (ec.europa.eu/eurostat).

Energy taxes continued to dominate, accounting for more than three-quarters (77.2%) of the total. They generated €287.0 billion in 2024, up from €269.3 billion in 2023. Transport taxes followed at €67.0 billion (18.0% of the total), rising from €64.0 billion the previous year. Taxes on pollution and resources made up the remainder at €17.9 billion (4.8%), compared with €17.2 billion in 2023 (ec.europa.eu/eurostat; ec.europa.eu/eurostat).

An environmental tax is defined as a tax whose base is a physical unit (or a proxy of it) of something with a proven specific negative impact on the environment and that is classified as a tax under the European system of accounts (ESA 2010), Eurostat stated (ec.europa.eu/eurostat).

Revenues increased in 22 EU countries in 2024. Romania recorded the highest growth at +21.7%, followed by Lithuania (+13.9%) and Poland (+12.7%). Hungary also saw a strong rise of +12.2%. In five countries, revenues declined: Sweden (-17.7%), Slovakia (-6.1%), Finland (-3.8%), Greece (-3.7%) and Bulgaria (-2.3%) (ec.europa.eu/eurostat).

At EU level, corporations contributed 50.5% of environmental tax revenues in 2024 and households 47.5%, with non-residents accounting for the remaining 2.0%. Manufacturing (NACE C) and transport and storage (NACE H) were the largest corporate contributors. National patterns varied, with some countries relying more heavily on household payments and others on industry (ec.europa.eu/eurostat).

Country shares of environmental taxes in total tax and social contribution revenues also differed widely. Bulgaria (9.7%) and Greece (9.4%) recorded the highest proportions in 2024, while Luxembourg had the lowest at 2.9%, followed by Sweden at 3.9%. The overall EU share has edged down in recent years even as absolute revenues have grown, indicating that environmental taxes expanded more slowly than broader tax revenues (ec.europa.eu/eurostat).

The data form part of Eurostat’s environmental economic accounts under Regulation (EU) No 691/2011 and are available in the env_ac_taxind2 dataset. Further breakdowns by economic activity and tax category are published in the accompanying Statistics Explained article (ec.europa.eu/eurostat).