FX.co ★ France Inflation Revised Higher to 1%

In June 2025, France experienced an increase in the annual inflation rate to 1%, revised upwards from an initial estimate of 0.9% and exceeding May's figure of 0.7%. This represented the highest inflation rate since January, primarily driven by a rise in service inflation, which increased to 2.4% from 2.1%. Accommodation services saw a notable rise to 5.5% from 1.6%, alongside a slight increase in catering (2.2% compared to 2.1%) and recreational and cultural services (1.7% versus 1.5%). Food inflation saw a minor rise to 1.4% from 1.3%, while the rate of decline in energy costs slowed slightly (-6.7% compared to -8.0%). Conversely, the growth rate of tobacco prices decelerated to 4.0% from 4.1%. Prices for manufactured goods continued to decline at the same rate as in May (-0.2%). On a monthly basis, consumer prices increased by 0.4%, a recovery from the previous 0.1% decline. Additionally, the EU's annual harmonized inflation rate saw an increase to 0.9% in June, up from 0.6% in May, and was revised from an earlier estimate of 0.8%. The monthly harmonized Consumer Price Index (CPI) rose by 0.4%, consistent with preliminary figures, following a 0.2% decrease in May.