MADRID, SPAIN / RankWire.AI / – Official data confirms that Spain’s annual inflation rate climbed to 3.6% in July from 3.2% in June. This final figure exceeds the initial flash estimate of 3.5% issued on July 30. Consumer prices rose by 0.3% compared to June, surpassing the preliminary estimate of 0.2%. The National Statistics Institute, or INE, stated that the July figures are definitive and will not be revised further.
Transport was the biggest driver of the yearly increase. Prices in this sector went up by 6.2% from the previous year. This rise was mainly due to increased costs of fuel and lubricants for personal vehicles. These prices grew more sharply than they did in July 2025. Housing expenses also contributed, rising 5.7% annually—one percentage point more than in June—as electricity prices increased at a faster pace than last year.
Core inflation, which excludes unprocessed food and energy, edged higher to 3.0% from 2.9% in June. Spain’s Harmonised Index of Consumer Prices increased by 3.9% year-on-year, compared with 3.6% in June. The final harmonised rate also beat the earlier estimate of 3.8%. On a month-to-month basis, the harmonised index remained steady in July. This measure provides a standard comparison for prices across European Union countries.
Fuel and electricity costs push prices higher in July
Transport costs for the month rose by 2.3%, making it the largest positive contributor to Spain’s overall CPI during July. Housing costs increased by 1.6% due to rising electricity prices and smaller gains in gas and liquid fuels. Prices for recreation, sport and culture also went up 2.3%, driven mainly by higher package holiday prices. These increases offset declines seen in other parts of the consumer basket.
Clothing and footwear prices dropped 10.2% from June, influenced by Spain’s summer sales which lowered prices across the category. Food and non-alcoholic beverage prices fell by 0.7%, reflecting lower costs for fruit, nuts, vegetables, pulses, and potatoes. Among Spain’s autonomous communities, Cantabria experienced the highest annual CPI increase at 4.3%. Extremadura had the lowest rate among the regions, at 3.0%, with the national average at 3.6%.
Spain’s harmonised inflation remains above euro-area levels
The 3.9% harmonised inflation rate in Spain stayed above the euro area’s initial 2.9% estimate for July. Euro-area inflation was 2.8% in June before climbing slightly in July. Eurostat published July’s euro-area figure as an early estimate, whereas Spain’s national harmonised rate is final. The harmonised index allows for straightforward inflation comparisons across EU nations.
Spain’s recent inflation trend shows a rise since March, when the annual rate was 3.4%. It then stabilized at 3.2% through April, May, and June. In July, it increased again. Core inflation moved from 2.8% in April to 3.0% in May, then slightly down to 2.9% in June before reaching 3.0% in July. The INE bases the CPI on roughly 200,000 monthly price observations covering goods and services bought by households across Spain.