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yesterday

German Inflation Ticks Up to 2.2% in August on Costlier Food

A stronger food‑price push with a fading energy offset nudged the rate off its summer low.

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Zucker und Gelierzucker in einem Einkaufswagen.
Die Kraftstoffpreise werden an einer Tankstelle angezeigt. Die Entwicklung der Spritpreise gilt als wichtiger Faktor für Verbraucher sowie für die allgemeine Inflationsrate.

Overview

  • Destatis confirmed headline inflation at 2.2% in August, the first increase of 2025, with prices up 0.1% month on month.
  • Food prices rose 2.5% year over year, led by coffee (+22.8%) and chocolate (+21.3%), while sugar (−29.2%), potatoes (−17.3%) and vegetables (−1.1%) fell.
  • Energy was 2.4% cheaper than a year earlier, but the decline weakened versus prior months as last year's base effects faded.
  • Core inflation held at 2.7% for a third month and services rose 3.1%, including combined passenger transport (+11.1%) and insurance (+6.4%).
  • A YouGov survey found 57% of consumers changed shopping habits, with more trips to discounters, tighter focus on deals and less food waste, as Q2 wages delivered a 1.9% real gain.