Service provider prices in Germany increased by 2.1 percent in the second quarter of 2025 compared to the same period in the previous year, according to data released by the Federal Statistical Office (Destatis). Prices also rose by 0.3 percent compared to the first quarter of 2025. This upward trend was primarily driven by increased costs for personnel, materials and energy across various service sectors.
Within the transportation and warehousing sector, prices increased moderately at 1.6 percent year-over-year. However, other postal, courier and express delivery services experienced the most significant rise, jumping 4.7 percent due to price adjustments implemented at the beginning of 2025. Storage services (+2.8 percent) and road freight transport (+2.4 percent) also saw notable price increases, attributable to higher energy costs – stemming from a CO2 tax increase introduced at the start of the year – coupled with capacity constraints and rising personnel expenses.
Conversely, prices for sea and coastal water transport declined substantially, decreasing by 7.2 percent compared to the second quarter of 2024 and 7.1 percent compared to the first quarter of 2025. This decrease is primarily due to a continued decline in demand for transport capacity between Germany and Asia, which also led to a 2.6 percent decrease in prices for related forwarding services.
The information and communication sector also saw a slight price increase of 1.3 percent compared to the second quarter of 2024. This was largely influenced by price increases for IT services at the beginning of the year, responding to rising overhead costs, alongside higher wages and salaries. Software and software licenses (+2.5 percent) and IT consulting and support (+1.9 percent) experienced the most pronounced price increases within this sector.
Prices for fixed-line telecommunications rose relatively sharply at 1.9 percent compared to the previous year, while wireless telecommunications saw only a slight increase of 0.3 percent.
Within the real estate and housing sector, prices increased by 2.1 percent compared to the second quarter of 2024. The prices for real estate brokerage and administration rose more sharply at 2.5 percent than for property rental services (+1.9 percent). The rise in brokerage prices was primarily driven by increasing prices for the buying and selling of residential properties.
The sector encompassing professional, scientific and technical services also saw another significant price increase of 2.2 percent compared to the previous year. Technical, physical and chemical testing services led the way with a substantial increase of 3.5 percent, followed by legal consulting services, which also saw a strong rise of 3.4 percent. Like other service sectors, price increases were implemented at the beginning of the year to account for rising overheads and higher salaries; however, price changes from the first quarter of 2025 to the second quarter were generally small across most industries.
Administrative and support service activities experienced the largest price increase of all service sector categories, rising 3.4 percent compared to the previous year. Cleaning services saw particularly strong growth at 5.0 percent, primarily driven by wage increases. The temporary employment services also rose above average at 4.0 percent, influenced by increased operating costs and a challenging labor market for skilled workers.