Spain’s annual inflation rate eased for the second consecutive month, falling to a four-month low of 2.9% in December 2025 from 3.0% in November, though it came in slightly above market expectations of 2.8%. The deceleration was largely driven by a decline in fuel and lubricant prices for personal vehicles, in contrast to the increase recorded in December 2024. Additional support came from leisure and culture prices, which rose at a slower pace than a year earlier. Meanwhile, food and non-alcoholic beverage prices continued to exert upward pressure, increasing more sharply than in December 2024. The core inflation rate, which excludes volatile components like food and energy, stood at a one-year high of 2.6% in December, unchanged from November. Considering the EU-harmonised, the CPI rose 3% on the year, after a 3.2% increase in November, matching estimates. Monthly, the CPI rose by 0.3%; and the EU harmonized also increased by 0.3%.