Fuels continue to pressure the cost of living, but it moderates in Catalonia in May

BarcelonaThe cost of living in Catalonia moderated last May despite the upward pressures on fuel costs on family economies caused by the energy crisis derived from the war in Iran. Despite this, the measures approved by the Spanish government to cut taxes on electricity and natural gas slowed down price increases.

In Catalonia, prices in May rose on average by 0.2% compared to the previous April, two tenths less than the increase registered between April and March, according to data from the consumer price index (CPI, the indicator that measures the evolution of the cost of living) published this Friday by the National Statistics Institute (INE). Compared to May 2025, the CPI increase in Catalonia was 3.1%.

At the Spanish level, the INE has confirmed the annual rate of 3.2% which it had already advanced two weeks ago. Between April and May, the CPI increase was 0.1%.

With these figures, inflation both in Catalonia and in the State as a whole remains far from the annual rate of 2% that the European Central Bank (ECB) sets as a medium and long-term objective for the countries of the euro area. In fact, in the 21 countries that share the common currency, the CPI in May also closed at 3.2%, as in Spain. This led the ECB to announce on Thursday an increase of 0.25 percentage points, to 2.25%, in key interest rates in the eurozone, a usual measure by central banks to try to curb price increases.

Regarding core inflation — that which does not include the most volatile elements, such as energy or fresh food — in Spain it rose to 3% annually and for the third consecutive month it was below the general CPI.

Fuels and hospitality, the ones that rise the most

The war in the Persian Gulf initiated in late February by the United States and Israel against Iran continues to be the main source of price increases, a consequence of the rise in the price of oil and natural gas. The conflict has affected oil facilities throughout the region and has blocked trade passing through the Strait of Hormuz, closed by Iranian forces in response to American attacks. Before the start of hostilities, one-fifth of the oil exported to the world circulated through this maritime passage, which is why the closure has caused greater scarcity of crude oil in the world and the consequent increase in prices.

Thus, the increase in the price of oil and gas has affected all energy products. In response, the Spanish government approved a package of measures to alleviate the impact on families' pockets, which included tax reductions and fiscal bonuses on electricity and gas bills, as well as on fuel. The effect has been noticeable, as in Catalonia, gas and electricity bills fell by 3% in May compared to the same month last year and by 0.8% compared to April.

However, it should be taken into account that some of these measures —especially those affecting electricity— ceased to be in force on June 1, so an increase in inflation should be expected when the INE publishes the CPI data for this month on the 29th.

Despite the executive's policies, however, fuel prices "continue to put upward pressure due to the persistence" of the conflict, the Ministry of Economy indicated in a statement sent to the media, in which it also assures that these products increased by 15.8% in May, but that without the government's package of measures, the increase would have been double.

The hospitality sector rises and clothing falls

Besides energy, restoration and hospitality were also among the sectors where prices increased the most, coinciding with the arrival of good weather, when there is an increase in demand and the arrival of foreign tourists grows. Between April and May, the prices of these services rose by 1.2% to stand 5% above the levels of a year ago.

At the other extreme, clothing and footwear were the items that most reduced the cost of living, with a decrease of 0.1% in both cases compared to the previous month. The price of clothing is 1.4% below the levels of May 2025.