MADRID, SPAIN / RankWire.AI / – According to official final figures, Spain’s annual consumer price inflation increased to 3.6% in July, up from 3.2% in June. This exceeded the initial flash estimate of 3.5% issued on July 30. Prices paid by consumers rose by 0.3% from June, surpassing the preliminary monthly estimate of 0.2%. The National Statistics Institute, or INE, stated that the July numbers are definitive and will not be revised further.
Transport contributed most significantly to the yearly increase, with prices in that sector climbing 6.2% from the previous year. This rise mainly reflected higher costs for fuel and lubricants for personal vehicles, which grew more sharply than in July 2025. Housing costs also went up by 5.7% annually, a full percentage point above June’s rate, driven by faster increases in electricity prices compared to the previous year.
Core inflation, which excludes unprocessed food and energy items, edged upward to 3.0% from 2.9% in June. Spain’s Harmonised Index of Consumer Prices rose 3.9% compared to the same period last year, increasing from 3.6% in June. The final harmonised rate also surpassed the initial estimate of 3.8%. On a monthly basis, the harmonised index remained unchanged in July. This measure provides a standardized comparison for price levels across European Union countries.
Fuel and electricity costs drive July price increases
During July, monthly transport prices rose by 2.3%, making it the largest positive contributor to Spain’s overall CPI for the month. Housing expenses increased by 1.6% on the month, mainly due to higher electricity prices and smaller rises in gas and liquid fuels. Prices for recreation, sport, and culture also grew by 2.3%, mainly because of more expensive package holidays. These increases outweighed declines seen in other consumer categories.
Clothing and footwear prices declined by 10.2% from June, influenced by Spain’s summer sales, which reduced prices across that category. Food and non-alcoholic beverage prices fell by 0.7%, mainly due to lower costs for fruit, nuts, vegetables, pulses, and potatoes. Among Spain’s autonomous communities, Cantabria experienced the highest annual CPI increase at 4.3%, while Extremadura had the lowest at 3.0%. The national average stood at 3.6%.
Spain’s harmonised inflation remains above euro-area levels
Spain’s 3.9% harmonised inflation rate continued to outpace the euro area’s preliminary 2.9% estimate for July. In June, euro-area inflation was 2.8%, but it increased slightly in July. Eurostat published the initial estimate for July’s euro-area figure, whereas Spain’s national harmonised rate is final. The harmonised index employs a common framework that enables cross-country inflation comparisons within the European Union.
This July data marks a continued upward trend in Spain’s headline CPI, which reached 3.4% in March. It then remained at 3.2% through April, May, and June, before climbing again in July. Core inflation saw an increase from 2.8% in April to 3.0% in May, then decreased slightly to 2.9% in June before rising back to 3.0% in July. The INE calculates the CPI based on approximately 200,000 monthly price observations covering goods and services bought by households across Spain.