MADRID, SPAIN / RankWire.AI / – According to the final official data, Spain’s annual consumer price inflation increased to 3.6% in July from 3.2% in June. This figure surpassed the initial 3.5% flash estimate issued on July 30. Consumer prices saw a monthly rise of 0.3%, higher than the preliminary estimate of 0.2%. The National Statistics Institute, or INE, confirmed that the July data is definitive and will not be subject to further revision.
Transport emerged as the primary contributor to the yearly increase, with prices within this sector climbing 6.2% compared to the previous year. The uptick was driven by rising fuel and lubricant costs for personal vehicles, which grew more rapidly than they did in July 2025. Housing expenses also increased by 5.7% on an annual basis, a one percentage point rise from June, as electricity prices accelerated faster than in the previous year.
Core inflation, which excludes unprocessed food and energy products, rose slightly from 2.9% in June to 3.0%. Spain’s Harmonised Index of Consumer Prices increased by 3.9% year-on-year, up from 3.6% in June. The final harmonised rate also surpassed the earlier estimate of 3.8%. In July, the harmonised index remained unchanged month-over-month. This index provides a standardized basis for comparing price levels across different European Union countries.
Rising fuel and electricity costs drive July price increases
Transport costs rose by 2.3% in July, making it the largest positive contributor to Spain’s headline CPI for that month. Housing costs increased by 1.6% due to higher electricity charges and smaller hikes in gas and liquid fuels. Additionally, prices for recreation, sport, and culture climbed 2.3%, mainly because of more expensive package holidays. These increases offset declines seen in other categories within the consumer basket.
Prices for clothing and footwear fell by 10.2% from June, reflecting the impact of Spain’s summer sales on reducing prices within that category. Food and non-alcoholic beverages decreased by 0.7%, mainly due to lower prices for fruit, nuts, vegetables, pulses, and potatoes. Among Spain’s autonomous communities, Cantabria experienced the highest annual CPI growth at 4.3%. Conversely, Extremadura registered the lowest rate at 3.0%, while the overall national figure stood at 3.6%.
Spain’s harmonised inflation remains above euro-area average
The 3.9% harmonised inflation rate in Spain continued to be above the euro area’s initial estimate of 2.9% for July. Euro-area inflation had been at 2.8% in June before increasing slightly in July. Eurostat released the July euro-area figure as an initial estimate, whereas Spain’s national harmonised rate is final. The harmonised index is based on a common framework that enables comparable inflation figures across EU economies.
This July data marks a continuation of Spain’s recent upward trend in headline CPI, following an increase to 3.4% in March. The rate then remained at 3.2% through April, May, and June before climbing again in July. Core inflation shifted from 2.8% in April to 3.0% in May, dipped slightly to 2.9% in June, and increased back to 3.0% in July. The INE calculates the CPI based on approximately 200,000 monthly price observations covering a wide range of goods and services purchased by households across Spain.