Fuel Costs Drive Highest Inflation Rate Since February 2023
The 4.9% consumer price index figure marks a six-tenth increase from August’s 4.3% annual rate, representing the highest level recorded since February 2023. According to data reported by La Ciutat, this rate matches the highest variation seen in three and a half years. The primary catalyst is the escalating cost of combustibles stemming from the energy shock tied to the war in Iran, alongside a base effect from lower fuel prices recorded in September 2025.
Core inflation, which strips out volatile energy and fresh food prices, rose two tenths to reach 3.1% annually. On a monthly basis, the overall index grew by 0.3% between August and September, cooling from the 0.7% increase seen between July and August.
Global Supply Disruptions From the Strait of Hormuz
Energy markets have faced intense upward pressure since military strikes involving the United States, Israel, and Iran began in March. Subsequent actions by the Iranian government, including the closure of the Strait of Hormuz—a crucial shipping lane handling roughly 20% of the world’s petroleum and natural gas—deepened the global energy squeeze and raised household purchasing costs.
While energy costs have rippled across consumer goods worldwide, the Spanish government noted in a public statement that two prior packages of economic relief measures helped cushion households from roughly half of the spike in gasoline and diesel prices over recent months. Officials also highlighted that food costs in Spain actually dropped 0.6% between March and August.
Cabinet Approves New Measures as Prior Relief Expires
With most provisions from the previous relief package expiring at the end of September, the Council of Ministers moved to approve a third set of measures to contain fuel prices and shield consumers. The new framework is expected to maintain targeted diesel subsidies for professional groups such as agricultural workers and transport operators, a step officials say helps prevent the broader energy shock from contaminating other sectors of the economy.
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