BRUSSELS / RankWire.AI / – Euro area annual inflation increased to approximately 3.3% in August 2026, up from 2.9% in July. The month saw a significant jump in energy prices. Eurostat announced the preliminary estimate on Sept. 1. In June, inflation was at 2.8%, and it reached 2.0% in August 2025. Consumer prices rose by 0.4% compared to July, based on the harmonised index of consumer prices.
Energy had the highest annual increase among main categories at 14.3%, rising from 10.3% in July. Monthly energy prices also gained 2.9%. Inflation in services slowed to 3.0% from 3.3% in July. Non-energy industrial goods saw inflation grow to 1.2% from 0.9%. Inflation for food, alcohol, and tobacco remained steady at 1.2%, the same as the previous month.
Adjusted measures that exclude certain categories showed smaller shifts in August. Inflation excluding energy was stable at 2.2%, unchanged from July. The rate excluding energy, food, alcohol, and tobacco decreased slightly to 2.4% from 2.5%. Inflation excluding energy and unprocessed food fell to 2.1% from 2.2%. These figures track consumer price changes after removing specific components from the overall inflation calculation.
Energy inflation accelerates while services inflation eases
Inflation levels varied greatly across the euro area’s 21 member nations in August. Lithuania reported the highest estimate at 5.8%, followed by Cyprus at 5.2% and Bulgaria at 5.1%. Spain recorded 4.5%, Belgium 4.2%, and Luxembourg 4.0%. At the lower end, Estonia had 1.3%, Malta 1.9%, and Finland 2.4%. Germany’s inflation was at 2.9%, France at 2.7%, and Italy at 3.2%.
Monthly price changes also differed across countries. Belgium experienced a 2.1% increase, Luxembourg 1.8%, and Cyprus 1.5%. France and Bulgaria each saw a 0.8% rise since July. Ireland, Spain, and Malta each increased by 0.6%. Finland saw a decline of 0.4% for the month, while Slovakia’s prices did not change. Germany’s prices went up by 0.2%, and Italy’s increased by 0.1%.
The euro area’s membership now includes 21 countries
Bulgaria joined the euro zone on Jan. 1, 2026, expanding the area to 21 countries. Data through December 2025 reflect the previous 20-member composition. From January 2026 onward, figures include the expanded group. The European Union statistical framework adjusts for changes in the euro area’s composition using a chain-index formula. The August flash estimate thus accounts for the current 21-member structure of the single currency zone.
The August data remains a preliminary estimate. Full harmonised consumer-price data will be released on Sept. 17, 2026. The next flash estimate, covering September inflation, is scheduled for Oct. 2. The index measures how prices paid by households for goods and services change over time. Annual inflation compares prices with the same month in the previous year. Monthly inflation tracks price changes from the immediately preceding month.