In August 2025, consumer prices in Switzerland increased by 0.2% compared to the same month the previous year, maintaining the same pace as July and aligning with anticipated outcomes. This marked the third consecutive month of inflation, primarily propelled by a significant resurgence in clothing and footwear prices, which rose by 4.5%, compared to a 0.2% decline in July. Additionally, there was a slight increase in the housing and energy sectors, which saw prices rise by 0.4%, up from 0.2%. Inflation rates also climbed in the education sector, jumping from 0.7% to 2.6%, and in restaurants and hotels, which rose to 1.8% from 1.6%.
Conversely, certain areas experienced continued deflation, exerting downward pressure, including food and non-alcoholic beverages, which saw a slight improvement from -0.6% to -0.5%; transport remained steady at a -2.4% drop; household goods and services improved slightly from -1.3% to -1.1%; and health, which saw a more significant decline from -0.1% to -0.7%. Meanwhile, price growth moderated for alcoholic beverages and tobacco, easing to 1.2% from 1.3%, and communications, which decreased from 0.3% to 0.2%. The recreation and culture sector remained stable at 0.8%. Core inflation, which excludes the more volatile categories such as unprocessed food and energy, decreased slightly from 0.8% to 0.7%. On a monthly basis, the Consumer Price Index (CPI) edged down by 0.1%, contrary to forecasts for it to remain unchanged, following a flat reading in July.
