The 2024-2025 reporting period shows a Europe is experiencing difficulty in upholding its core values, reports for the 2024-2025 period show. Key aspects of the democratic welfare state, such as civic rights and social welfare, have been put under significant strain. The housing crisis has intensified, pushing many households into poverty, so they are increasingly unable to access essential services such as energy and transport. Budget cuts threaten the future and adequacy of welfare and social security services, at a time when challenges are rising in the form of the green, digital and demographic transitions. Civil society faces a multitude of attacks, ranging from hostile rhetoric and threats by right-wing politicians to bans on protests, violence against protestors and large funding cuts. Women, third-country nationals, ethnic minorities and the LGBTQI+ community have experienced a rise in verbal and physical hostilities, aggravating the discrimination they already face.

However, there has been positive evolution in some areas. In many countries, education is helping combat high youth unemployment and playing an important role in up- and re-skilling workers for quality green jobs as part of the green transition. Minimum-wage and income levels have been increased, even though these have not always kept up with rises in living costs. To combat these rising costs, some countries have subsidized energy, transport and housing.