Almeria leads with lowest inflation in Spain

Although prices have risen in Almeria, the province has the slowest rate of inflation in the peninsula. 

The Consumer Price Index (CPI) for the province increased by 1.6 per cent year-on-year, the lowest in the country, matching the rates in Cadiz and Ceuta. 

This figure is below the 2 per cent threshold set by the European Central Bank to indicate the end of the inflationary spiral. 

Almeria’s inflation is lower than Andalusia’s average of 2.1 per cent and the national average of 2.3 per cent. 

Notably, year-on-year inflation dropped from July’s 2.3 per cent to 1.6 per cent, indicating a slower price increase rather than a reduction in prices. 

Key sectors contributing to the lower inflation include furniture, with a 0.1 per cent price decrease, transport, which fell by 2 per cent, and clothing and accessories, with only a 0.1 per cent increase. 

However, certain products that are popular among Almerians have seen significant price hikes. Alcohol prices rose by 4.3 per cent, while leisure and cultural activities increased by 3.6 per cent. 

Accommodation costs also climbed by 2.3 per cent compared to August 2023, reflecting the typical summer travel demand.

Food prices, although still rising, showed the smallest year-on-year increase since the start of 2022, up by 1.6 per cent.

This is a marked improvement from the 15.6 per cent spike during the inflation crisis in late 2022. 

In contrast, housing costs remain high, with a 3.8 per cent increase over the past year. 

The price of housing, water, electricity, and gas saw a monthly rise of 4.8 per cent, though this is much lower than the 30 per cent increase seen in spring 2022.

August 2024 marks the lowest inflation rate in Almeria since 2022, breaking the 2 per cent barrier for the first time. 

The months of double-digit inflation are in the past, and the coming months will determine whether this low inflation rate is a temporary anomaly or a lasting trend.

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