Fuels shoot up inflation in August
The cost of living for Catalan families increased by 4% annually in the month of August
BarcelonaThe cost of living for families continues to rise due to the increasing cost of energy. In the month of August, the prices of the set of consumer goods and services in Catalonia soared by 4% annually, the highest figure since January 2023 but lower than the Spanish average, according to data from the Consumer Price Index (CPI) published this Tuesday by the National Statistics Institute (INE).
Compared to the previous month, price growth in Catalonia was 0.6%, one tenth of a percentage point less than the increase recorded in Spain. For the country as a whole, annual inflation stood at 4.3%, just as the INE had already advanced three weeks ago.
The main reason to explain the price hike of the last year is the conflict in the Middle East. The attacks by the United States and Israel on Iran, one of the world's main oil producers, and the response of the Ayatollah regime attacking American allies in the region have reduced the production of crude oil and natural gas on a global scale. To this must be added the blockade of the Strait of Hormuz, through which a fifth of the world's oil tankers pass and which Tehran has closed since February, thus preventing the export of oil.
Both the Spanish and Catalan figures place the inflation rate at levels that, at the very least, double the medium-term target of 2% set by the European Central Bank (ECB). In this sense, the rising cost of living is a widespread phenomenon in the rest of Europe even more so than in Spain, since most countries in the European Union have a greater dependence on energy coming from the Middle East.
To try to curb price increases, last week the ECB raised basic interest rates by a quarter of a percentage point, to 2.5%. Despite this, since the cause of inflation is an increase in energy costs caused by an external shock—the conflict in the Middle East—the central bank's room for maneuver is limited, as continuing to increase the price of money could slow down economic growth, which is quite limited in the euro zone as a whole.
The rise in fuel prices is the element that consumers notice most in their pockets. Between July and August, fuel prices in Catalonia increased by 7.5% and were 18.3% higher than prices in August 2025.
