In December 2025, Italy's annual inflation rate rose slightly to 1.2%, up from 1.1% in November. This aligns with both preliminary estimates and market expectations. The increase was driven by higher prices in several sectors: transport services saw a significant rise to 2.6% from 0.9%, unprocessed food prices grew to 2.3% from 1.1%, and miscellaneous services edged up to 2.2% from 2%. Conversely, inflation eased for non-durable goods, dropping to 0.6% from 1%, and for recreational, cultural, and personal care services, which fell to 2.7% from 3%. Regulated energy prices decreased notably, from a -3.2% drop to -5.2%. Core inflation remained steady at 1.7% as it was in the prior month. On a month-on-month basis, consumer prices increased by 0.2%, recovering from a 0.2% decline in November, consistent with preliminary figures and market forecasts. Harmonised consumer prices experienced a year-on-year rise of 1.2% and a monthly growth of 0.2%.