Spain’s European Union-harmonised 12-month inflation rate eased to 3.0% in December 2025, down from 3.2% in November, according to final data released by the National Statistics Institute (INE) on Thursday. The figure aligned with both the earlier flash estimate and the consensus forecast from analysts polled by Reuters, signaling a continued moderation in inflationary pressures heading into 2026.

---

Core Inflation Remains Steady

While overall inflation slowed, core inflation, which excludes volatile food and energy prices, remained stable at 2.6% for the 12-month period ending in December, unchanged from November.

This stability in core inflation reflects steady underlying price pressures in Spain, indicating that domestic demand and service sector costs remain consistent, even as energy prices fluctuate.

---

National Consumer Prices Also Ease

Spain’s national consumer price index (CPI) also showed signs of moderation, falling slightly to 2.9% in December from 3.0% in November. This result was consistent with the preliminary INE estimates released two weeks prior.

The Economy Ministry attributed the overall moderation in December inflation primarily to falling fuel prices, which eased the upward pressure on household expenses.

---

Food and Beverage Inflation

Despite the general slowdown, inflation for food and non-alcoholic beverages rose slightly to 3% in December, up 0.2 percentage points from November. The increase was largely driven by the base effect on oils and fats, reflecting seasonal and historical price adjustments.

---

Implications for Spain’s Economy

The slowdown in inflation, particularly core inflation, is a positive signal for consumers and policymakers, suggesting that price pressures may be stabilizing. Lower inflation can support household purchasing power, while still providing flexibility for monetary authorities to manage interest rates and economic growth.

Analysts expect that the moderation in energy-related costs may continue to ease overall inflation in the first months of 2026, while core inflation remains a key metric to watch for sustained economic stability.

---

Key Takeaways

• EU-harmonised inflation: 3.0% in December 2025, down from 3.2% in November
• Core inflation: Stable at 2.6%, reflecting steady underlying price pressures
• National CPI: Fell slightly to 2.9% in December, driven by lower fuel prices
• Food & beverage inflation: Rose to 3%, primarily due to oils and fats

---

Spain’s data underscores the importance of monitoring both headline and core inflation metrics to gauge economic trends, particularly as energy prices fluctuate and consumer demand stabilizes. Analysts and investors will likely continue to track these figures closely as indicators of monetary policy decisions and European economic health.