The Federal Statistical Office (Destatis) has confirmed that the inflation rate for August 2026 stood at 2.9 percent, a figure that had already been estimated at the end of the month. This indicates a slight acceleration in consumer prices, following figures of 2.8 percent in July 2026 and 2.3 percent in June 2026.
Destatis President Ruth Brand stated that rising energy costs were the primary driver of inflation in August. She specifically pointed out that soaring energy prices, largely attributable to the Iran War, were particularly noticeable in fuels. Overall energy product prices increased by 10.5 percent in August 2026 compared to August 2025, marking a significant increase from the previous year (July 2026: +8.3 percent; June 2026: +3.4 percent). This represents the highest rise in energy prices in over three years (February 2023: +19.1 percent versus February 2022). The price trend for raw oil, which has been observed since the start of the Iran War, was reflected in consumer prices at gas stations, where fuel prices rose by 27.7 percent compared to the same period last year (July 2026: +23.0 percent).
Among household energy sources, light heating oil saw an even steeper increase, rising by 49.6 percent from August 2025 to August 2026. However, because light heating oil accounts for only a small portion of household energy consumption, and prices for electricity (-5.5 percent), natural gas including operating costs (-2.9 percent), and district heating (-1.0 percent) simultaneously declined year-on-year, total household energy became 0.7 percent cheaper than in the previous year. These downward trends in electricity, natural gas, and district heating are partly credited to measures already implemented by the federal government earlier in the year.
Food prices remained nearly stable in August 2026, increasing only by 0.1 percent compared to the previous year, compared to increases of 0.4 percent in July, June, and May 2026. Nevertheless, several food items were noticeably more expensive year-on-year, including eggs (+15.2 percent), fresh vegetables (+5.2 percent), and fish, fish products, and shellfish (+4.4 percent). Conversely, food fats and oils became cheaper (-15.3 percent, with butter decreasing by -29.9 percent), as did fresh fruit (-5.6 percent) and dairy products (-5.5 percent).
Breaking down the inflation rates, the rate excluding energy reached +2.2 percent, and the rate excluding heating oil and fuels was +2.0 percent. The core inflation rate-excluding food and energy-was +2.4 percent in August 2026, falling below the overall inflation figure.
In terms of goods, prices rose by 3.0 percent over the previous year. Consumer goods increased by 4.2 percent, primarily driven by the rise in energy prices (+10.5 percent), while durable goods prices rose by 1.0 percent. Within the last year, prices for information processing devices, for instance, surged by +9.0 percent, and tobacco products increased by +6.0 percent. In contrast, household appliances (-1.9 percent) and consumer electronics (-2.8 percent) saw their prices fall.
The overall price of services rose by 2.8 percent compared to August 2025, representing a slight weakening of the increase compared to the total inflation. Areas seeing notable year-on-year increases included social service providers (+6.3 percent), vehicle maintenance and repair (+4.7 percent), and package tours (+3.2 percent). Water supply and other housing services, as well as hospitality services (both +3.1 percent), were also more expensive than a year prior. Critically, net cold rents rose by 1.9 percent in August 2026. The prices for telecommunication services remained largely unchanged year-on-year (+0.1 percent).
When comparing August 2026 to July 2026, the consumer price index rose by 0.2 percent. Although the “fuel discount” period ended on June 30, 2026, fuels became more expensive again in August 2026 compared to the previous month (+3.1 percent, including diesel fuel: +6.4 percent, and super gasoline: +2.1 percent). Overall, energy prices increased by 1.7 percent within the month, supported by light heating oil increasing by +6.5 percent alongside fuels. Other categories that saw price increases month-on-month included games, toys, and hobbies (+3.0 percent), as well as clothing items (+1.8 percent). Meanwhile, overall food prices remained almost flat month-on-month (-0.1 percent), mainly due to seasonal price drops for fresh fruit (-1.6 percent). Furthermore, prices for plane tickets, for example, fell by 8.0 percent within the month.
