The annual inflation rate in Luxembourg edged up to 3.1% in December 2025 from 3% in November. This marked the highest reading since March 2024, largely driven by higher prices for food and non-alcoholic beverages (3.43% vs 2.78% in November), housing and utilities (7.84% vs 7.44%), miscellaneous goods and services (2.71% vs 1.78%), and restaurants and hotels (2.97% vs 2.84%). Conversely, price growth slowed for transport (1.36% vs 2.26%), furnishings and household equipment (0.6% vs 1.52%), and recreation and culture (2.58% vs 3.95%). On a monthly basis, consumer prices increased by 0.1% in December, following a 0.2% drop in each of the previous two months. The core annual inflation rate rose to 2.9% in December from 2.6% in November.