The rise in fuel prices has caused inflation to rise by four tenths of a percentage point in July, bringing the Consumer Price Index (CPI) to 3.6 per cent, according to final figures published by the National Statistics Institute (INE).
In fact, the Government has announced that the reduction in the hydrocarbon tax applicable to diesel will rise to €0.20 per litre in September, compared with the €0.5 initially planned.
The Ministry of Economy, Trade and Enterprise has commented that the July inflation figure is “precisely due to pressure from fuel and electricity prices, which in this case recorded a year-on-year rate of 8.4 per cent. “This inflationary pressure has not been passed on to food prices, for which the year-on-year change was 1.6 per cent – three tenths of a percentage point below June’s rate and the lowest level seen since 2021.”
In detail, the inflation figures for the seventh month of the year show that the categories which had the greatest positive impact on the annual rate were transport and housing.
As for the former, the annual rate rose by more than one percentage point, to 6.2%, mainly due to the increase in the prices of fuel and lubricants for private vehicles, which rose more than in July 2025. As for the latter, its annual rate stood at 5.7%, one percentage point higher than last month’s figure, mainly due to electricity prices, which rose more than in the same month of 2025.
By autonomous community, the CPI recorded positive annual rates in all of them, with Cantabria showing the highest increase (4.3%) and Extremadura the lowest (3%).
Meanwhile, the annual rate of change in core inflation, that is, the overall index excluding unprocessed food and energy products, stood at 3 per cent, one-tenth of a percentage point higher.
The Harmonised Index of Consumer Prices (HICP) stood at 3.9 per cent, three-tenths of a percentage point higher than the figure recorded the previous month.
