Inflation soars to 4% in September, its highest rate in 13 years, because of electricity

The Consumer Price Index (CPI) rose by 0.8% in September compared to the previous month and shot its annual rate to 4%, seven tenths above that of August and the highest in 13 years, due to the rise in electricity prices, according to advanced data published Wednesday by the National Statistics Institute (INE).

With the September figure, the highest since September 2008, when inflation stood at 4.5%, the annual CPI chains its ninth consecutive positive rate.

According to Statistics, in the year-on-year CPI performance highlights the rise in electricity prices, higher this month than in September last year.

It also influences, although to a lesser extent, the increase in prices of fuel and lubricants for personal vehicles and the fact that the prices of package tours fell less in September this year than they did in the same month of 2020.

In monthly rate, the CPI chained its second consecutive rebound by rising 0.8% in September, three tenths more than in August and its highest monthly rise since last April.

The INE includes in the advance CPI data an estimate of core inflation (without unprocessed food or energy products), which increased in September by three tenths, to 1%, which is three points below the rate of the general CPI. This is the highest difference between the two rates since the series began in 1986.

In the ninth month of 2021, the Harmonised Index of Consumer Prices (HICP) placed its interannual rate at 4%, seven tenths more than that registered the previous month. In turn, the HICP leading indicator rose by 1.1% in the monthly rate. The INE will publish the definitive CPI data for September on 14 October.