Eurozone annual inflation rose to 4.0% in October 2026, up from 3.8% in September, according to preliminary estimates. This marked the highest rate since September 2023 and kept inflation well above the ECB’s 2% target.
The acceleration was driven mainly by a sharp increase in energy prices amid ongoing conflict in the Middle East. Energy inflation jumped to 20.8%, its highest level since December 2022. Price growth also quickened in services, rising to 3.3% from 3.2%, and in unprocessed food, to 4.6% from 4.0%.
By contrast, core inflation—which excludes energy and food—was unchanged at 2.5%, in line with market expectations.
Among the eurozone’s largest economies, inflation picked up in France to 3.8% from 3.4%, in Italy to 5.6% from 4.2%, and in the Netherlands to 3.3% from 3.0%. Germany was an outlier, with inflation easing to 2.8% from 3.3%, partly due to a temporary fuel tax cut. Spain’s inflation rate also edged down slightly, to 4.9% from 5.0%.
