{"id":853621,"date":"2026-03-27T10:28:12","date_gmt":"2026-03-27T10:28:12","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/853621\/"},"modified":"2026-03-27T10:28:12","modified_gmt":"2026-03-27T10:28:12","slug":"inflation-in-spain-climbs-to-3-3-as-fuel-prices-soar","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/853621\/","title":{"rendered":"Inflation in Spain climbs to 3.3% as fuel prices soar"},"content":{"rendered":"

INFLATION in Spain has surged to its highest level in two years as the effects of the Iran war continue to ripple across the country, new data has shown.<\/strong><\/p>\n

Spain\u2019s National Institute of Statistics (INE) announced on Friday that inflation climbed to 3.3% in March \u2013 the sharpest month-to-month rise since May 2022, and the highest level since June 2024.<\/p>\n

Experts have linked the spike to rising fuel prices following Iran\u2019s blockade of the Strait of Hormuz, and warned inflation was likely to remain above 3% in the coming months.<\/p>\n

READ MORE:<\/strong> Iran war latest: Algeria \u2018rewards\u2019 Spain with increased LNG flows while Tehran grants Spanish ships safe passage in Hormuz Strait<\/strong><\/a><\/p>\n

The increase came despite a \u20ac5-billion relief package approved by the Spanish government on Thursday. Among the 80 measures introduced were a VAT slash on fuel and a price cut of up to 30 cents per litre, which analysts believe may have softened the blow of the crisis.<\/p>\n

Angel Talavera, Oxford Economics\u2019 chief economist for Europe, told El Pais: \u201cIt\u2019s a sharp increase, but it could have been worse. We need to wait and see the breakdown of fuels and electricity to understand the exact impact of the government\u2019s measures.<\/p>\n

\u201cBut we will probably remain above 3% in the coming months,\u201d he added.<\/p>\n

2026 had been tipped as the year inflation would finally cool, with prices expected to drift back towards the European Central Bank\u2019s 2% target.<\/p>\n

READ MORE:<\/strong> Iran\u2019s Revolutionary Guard are plastering Pedro Sanchez\u2019s face onto ballistic missiles aimed at Israel with the words \u2018thank you Prime Minister\u2019<\/strong><\/a><\/p>\n

But that outlook was thrown off course on February 28, when a joint US and Israeli strike on Iran triggered a swift retaliation from Tehran \u2013 including the blockade of the Strait of Hormuz and attacks on key energy infrastructure across the Gulf region.<\/p>\n

Since then, the picture has shifted dramatically. The Organisation for Economic Co-operation and Development (OECD) said on Thursday it expects inflation in Spain to average 3% this year \u2013 and that is only if the conflict does not drag on longer than anticipated.<\/p>\n

While the knock-on effects of the war are already being felt, the Funcas research centre estimates that the government\u2019s relief package could save drivers up to \u20ac90 in fuel costs by June.<\/p>\n

READ MORE:<\/strong> Good news for motorists: Filling up now \u20ac10 cheaper after Spanish government slashes VAT on fuel<\/strong><\/a><\/p>\n

\u201cOver the past week, fuel prices have fallen due to the implementation of fiscal measures,\u201d Spain\u2019s Economy Ministry said in a statement on Friday.<\/p>\n

\u201cBut they continue to face upward pressure from international markets, particularly in the case of diesel, due to higher oil prices, freight costs and refining margins,\u201d the statement warned.<\/p>\n

Click here to read more Spain News<\/a> from The Olive Press.<\/p>\n","protected":false},"excerpt":{"rendered":"INFLATION in Spain has surged to its highest level in two years as the effects of the Iran…\n","protected":false},"author":2,"featured_media":853622,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[5312],"tags":[2000,299,53309,148162,476,83163,18104,8626,104,74677,18106],"class_list":["post-853621","post","type-post","status-publish","format-standard","has-post-thumbnail","category-spain","tag-eu","tag-europe","tag-fuel-prices","tag-ine","tag-inflation","tag-iran-war","tag-news-spain","tag-newspaper","tag-spain","tag-strait-of-hormuz","tag-the-olive-press"],"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/853621","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=853621"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/853621\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/853622"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=853621"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=853621"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=853621"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}