MADRID, SPAIN / RankWire.AI / – Spain’s annual consumer price inflation increased to 3.6% in July, up from 3.2% in June, according to official final data. This figure exceeded the preliminary 3.5% estimate published on July 30. Consumer prices grew by 0.3% from June, surpassing the earlier monthly estimate of 0.2%. The National Statistics Institute, or INE, confirmed that the July data are definitive and will not undergo further revision.
Transport was the leading factor driving the annual inflation rate upward, with prices within this sector rising 6.2% compared to the previous year. This increase was mainly driven by higher costs for fuel and lubricants for personal vehicles. These prices rose more sharply than in July 2025. Housing expenses also saw a 5.7% year-on-year increase, one percentage point higher than June, as electricity prices accelerated faster than the same period last year.
Core inflation, which excludes unprocessed food and energy products, inched up to 3.0% from 2.9% in June. Spain’s Harmonised Index of Consumer Prices (HICP) advanced by 3.9% compared to a year earlier, compared with 3.6% in June. The final harmonised rate also surpassed the initial estimate of 3.8%. On a monthly basis, the HICP remained unchanged in July. This index provides a standardized metric for comparing inflation rates across European Union nations.
Fuel and electricity prices push July inflation higher
Transport costs on a monthly basis rose by 2.3%, making it the largest contributor to Spain’s overall CPI increase in July. Housing costs increased by 1.6% during the month, primarily due to higher electricity prices and smaller hikes in gas and liquid fuels. Prices for recreation, sport, and culture also went up 2.3%, mainly driven by more expensive package holidays. These increases outweighed price declines in other consumer categories.
Prices for clothing and footwear fell 10.2% from June, largely due to summer sales that lowered prices across this sector. Food and non-alcoholic beverage prices declined 0.7%, driven by lower costs for fruit, nuts, vegetables, pulses, and potatoes. Among Spain’s autonomous communities, Cantabria registered the highest annual CPI increase at 4.3%, while Extremadura recorded the lowest at 3.0%. The national inflation rate was 3.6%.
Spain’s harmonised inflation remains above euro-area levels
In July, Spain’s harmonised inflation rate of 3.9% remained above the euro area’s flash estimate of 2.9%. Euro-area inflation had been 2.8% in June before rising slightly in July. Eurostat released the July euro-area figure as an initial estimate, whereas Spain’s national harmonised rate is final. This harmonised index adopts a common framework, enabling direct comparison of inflation across EU member states.
Spain’s recent CPI figures follow a trend of rising annual inflation, which reached 3.4% in March. After dropping to 3.2% in April, May, and June, it increased again in July. Core inflation moved from 2.8% in April to 3.0% in May, then slightly decreased to 2.9% in June before climbing back to 3.0% in July. The INE calculates the CPI based on approximately 200,000 monthly price observations covering goods and services purchased by households across Spain.