Inflation in Catalonia hits 4% in August, highest since March 2023

Inflation in Catalonia – as measured by the Consumer Price Index (CPI) – rose 0.5 percentage points in August to 4% year-on-year, the highest rate since March 2023, according to data released on Tuesday by Spain's National Statistics Institute (INE).

The increase was driven largely by higher fuel prices, with inflation across Spain rising even more sharply to 4.3%, up seven-tenths of a percentage point from July.

Core inflation in Catalonia, which excludes energy and food, stood at 2.8%, down two-tenths from the previous month.

Inflation in Catalonia has risen sharply compared to last August, when the annual rate stood at 2.4%. 

Inflation has now risen for four consecutive months.

Prices in Catalonia rose 0.6% in August from the previous month, compared with a 0.7% increase across Spain.

Electricity and fuel lead price increases

Electricity, gas and other fuels recorded the sharpest annual increase in Catalonia in August, with prices rising 10.6% from a year earlier. 

Prices for liquid fuels rose 46.4%, followed by electricity at 9.2%, liquefied hydrocarbons at 4.6% and natural gas at 4.4%.

The cost of running a private vehicle rose 17.4% year-on-year. Diesel prices rose 30.3% from a year earlier, while petrol was up 16.9%.

In response to rising diesel prices, the Spanish government doubled its tax reduction on the fuel at the start of September, from 10 to 20 cents per litre, in an effort to cushion consumers from higher prices.

Across Spain, food prices rose 2.5% year-on-year in August, with egg prices up 12.5%.

Inflation rises faster across Spain

The INE confirmed Spain's annual inflation rate of 4.3% in August, matching the preliminary figure released earlier this month and marking a seven-tenths increase from July. The rise was primarily driven by higher fuel prices.

The Spanish government said the figures reflected "the continued impact of the energy shock caused by the war in Iran," as well as the fact that prices had fallen in August 2025.