The annual inflation rate in Italy edged higher to 1.2% in December 2025 from 1.1% in the previous month, in line with preliminary estimates and initial market expectations. Price growth accelerated for transport services (2.6% vs 0.9% in November), unprocessed food (2.3% vs 1.1%), and miscellaneous services (2.2% vs 2%). On the other hand, inflation slowed for non-durable goods (0.6% vs 1%) and recreational, cultural, and personal care services (2.7% vs 3%), while costs declined sharply for regulated energy prices (-5.2% vs -3.2%). Meanwhile, core inflation stood at 1.7% in December, unchanged from the previous month. On a monthly basis, consumer prices rose 0.2%, rebounding from a 0.2% fall in November and matching preliminary estimates and market expectations. The harmonised consumer prices increased 1.2% year-on-year, and grew 0.2% on a monthly basis.
