Spain's annual inflation stood at a five-month high of 2.7% in August 2025, unchanged from July and aligning with preliminary estimates. Key to this development was a sharp increase in transportation costs (1.2% vs 0.2% in July), notably passenger air transport, which was offset by a slowdown in food and non-alcoholic beverage inflation (2.3% vs 2.7%), especially fruit. Housing and utilities prices also eased, rising 6% compared to 6.7% in July, amid a slower increase in electricity. Meanwhile, core inflation—which excludes volatile components like food and energy—ticked up to a four-month high of 2.4% in August, compared to July's 2.3%, matching the initial estimate. Considering the EU-harmonised, the CPI increased 2.7% on an annual basis, and was unchanged month-on-month, both in line with the preliminary estimates. On a monthly basis, consumer prices were flat, matching the earlier reading, after a 0.1% decrease in July.