How much is the cost of living in Italy? Information to plan your move.

italian-citizenship-laws-history
The concept of Italian citizenship emerged with the unification of Italy in 1861. Before this, Italy was fragmented into multiple states, each with its own legal traditions and identity. The Law of March 17, 1861, proclaimed the Kingdom of Italy, laying the foundation for a unified national identity. However, formal citizenship laws were still undefined.
Decree-Law No. 36/2025 approved and the new rules for Italian citizenship: Photo of the Italian parlament
On May 20, 2025, the Chamber of Deputies approved Decree-Law No. 36/2025, now law No. 74 of May 23, 2025, with 137 votes in favor and 83 against, finalizing the proposal introduced in March by the coalition led by Giorgia Meloni, which was previously passed by the Senate on May 15.
From North to South - the best places to live in Italy: Photo of a church near the Dolomites, in the Italian alps
Italy is a country steeped in cultural heritage, boasting stunning landscapes and a deep historical legacy. Divided into regions, provinces, municipalities, and metropolitan cities, each area offers a distinct lifestyle and unique experiences. In this exploration, we’ll uncover the best places to live, considering factors like culture, economy, and quality of life.
Legal arguments for Italian citizenship by descent under decree-law 36/2025: Photo of man walking through a historical building in Italy
Decree-Law 36/2025 has significantly restricted Italian citizenship by descent, allowing recognition only for children and grandchildren of Italians, while excluding great-grandchildren and further descendants. This change has sparked legal and constitutional debates.
The role of Italy's regions in shaping national identity: Photo of an historical building in Rome
Italy is renowned for its rich regional diversity, which has deeply influenced its national identity throughout history. From distinct dialects and culinary traditions to varied economic models, each region has contributed uniquely to Italy’s character.
decree-law-citizenship-impact
On May 15, 2025, the Italian Senate approved Decree-Law No. 36/2025, a legislative measure that restricts the recognition of Italian citizenship by descent (jus sanguinis). The measure has sparked intense debate, with critics raising concerns about its constitutional validity, retroactive effects, and potential discrimination.
The cost of living in Italy: Photo of a street market in the comune of Latina, on the Lazio region
Summary

Italy has long been an appealing destination for expatriates, students, and descendants seeking to reconnect with their roots. From its rich cultural heritage and stunning landscapes to its excellent public services and quality of life, it offers endless opportunities for those who make the move.

However, understanding the cost of living is essential for effective financial planning, especially for anyone considering a long-term stay. This guide explores the key cost factors, regional variations, and practical tips to help you make informed decisions.

Regional variations in cost of living

According to Idealista, rental prices in Italy saw a record 11.4% increase as of July 2024 compared to the same period the previous year. In Italy, average rental prices per square meter vary significantly across regions.

In Lombardia, Milan stands out as the most expensive city, with an average cost of around €18 per square meter. Toscana’s Florence follows closely, with prices averaging €16 per square meter. Lazio’s capital, Rome, also features high rental costs, averaging €16 per square meter. In contrast, Campania’s Naples offers more affordable options at €11 per square meter, and Umbria’s Perugia remains the most economical, with an average price of €7.5 per square meter

These variations reflect the economic and cultural differences across Italy’s diverse regions.

Breakdown of monthly expenses

Understanding the breakdown of monthly expenses is key to managing your budget effectively while living in Italy.

  • Housing: Rental costs typically range from €500 to €1,500 per month, depending on the region and size of the property. Northern cities like Milan and Florence command higher rents, while smaller cities and southern regions offer more affordable housing options.
     
  • Food and groceries: Expect to spend between €200 and €400 per month on groceries. Dining out can vary widely—meals at local trattorias or pizzerias are affordable, whereas dining in tourist hotspots is significantly more expensive. Shopping at local markets is an excellent way to save on fresh produce.
     
  • Transportation: Public transportation in Italy is generally reliable and affordable. A monthly public transport pass costs around €35. Larger cities like Milan and Rome have efficient metro systems, while smaller towns rely on buses and trains.
     
  • Utilities and internet: Monthly costs for electricity, water, gas, and internet typically range from €150 to €400, depending on the size of your home and the season. Heating costs can be higher in winter, especially in northern regions.

Additional costs for non-citizens

Non-citizens may face extra expenses that Italian citizens can avoid.

  • Private health insurance: Non-residents or those without access to Italy’s public healthcare system (SSN) may need private health insurance, which typically costs between €50 and €150 per month.
     
  • Administrative fees: Non-citizens applying for or renewing residence permits should also account for administrative costs, which vary depending on the type of residence permit.

Benefits of Italian citizenship

For descendants or those considering Italian citizenship, there are significant financial advantages tied to being a citizen.

  • Access to public healthcare: Italian citizens are eligible for free or subsidized healthcare through the SSN, eliminating the need for private insurance and reducing overall living costs.
     
  • Reduced university fees: Italian citizenship grants access to lower tuition fees at universities, making higher education more affordable compared to fees for international students.
     
  • Simplified bureaucracy: Italian citizens do not have to navigate the complexities of visa renewals or residence permit applications, saving time and money.
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Tips for saving money

Moving to Italy doesn’t have to be financially challenging. Living in smaller, more affordable cities like Perugia or Bari can significantly lower housing and overall living costs while maintaining a good quality of life. Using public transportation and healthcare options can further reduce expenses. Relying on private services only when necessary can also help save money.

Italy offers a diverse cost of living landscape, with significant variations depending on location and lifestyle choices. While northern cities like Milan and Florence present higher costs, southern regions and smaller cities provide more affordable options, making them attractive alternatives for expatriates, students, and descendants.To make the most of your experience in Italy, careful financial planning is crucial.

Explore your options, consider the benefits of citizenship and don’t hesitate to seek advice to ensure a smooth transition. With the right approach, living in Italy can be an enriching and economically viable experience.

Begin your journey to Italian citizenship

Take advantage of specialized assistance to secure your passport for a borderless future.