National economy Inflation in Germany makes services in particular more expensive
After two months of rising inflation rates, inflation in Germany has eased again somewhat. However, at 2.3 percent, inflation remains above the two percent mark, as the Federal Statistical Office confirmed earlier data on Wednesday.
12.11.2025, 09:20
SDA
Higher inflation rates reduce people's purchasing power. Consumers had to pay significantly more for services in particular than in October 2024. Food prices also continued to rise, albeit less than in previous months. Compared to the previous month of September, consumer prices rose by 0.3% overall in October, according to the statisticians' calculations.
Above-average rise in service prices
Services, which include travel and car repairs, were once again more expensive than a year earlier. Here, prices climbed by 3.5 percent. Passenger transportation (+11.4 percent) and social services (+8.0 percent) were among the services that became significantly more expensive. Prices for services in hospitals, for example, were also significantly higher than a year earlier. Rents rose by an average of 2.0 percent.
People in Germany are also feeling the effects of inflation in their everyday shopping: many groceries are considerably more expensive than before the coronavirus pandemic. Nevertheless, the rise in food prices slowed for the third month in a row and amounted to 1.3% in October. The last time there was a lower inflation rate in this segment was in January 2025.
Energy cheaper than a year earlier
By contrast, energy prices have eased somewhat: Fuel, electricity and gas were 0.9% cheaper in October than a year earlier. However, core inflation excluding the volatile prices for food and energy remained at 2.8% in October.
According to economists, consumers in Germany will have to put up with inflation rates above the two percent mark for the time being. With inflation at 2.0% in the medium term, the European Central Bank (ECB) believes that its most important task of ensuring stable prices and thus a stable euro has been fulfilled for the entire eurozone.
At least the major wave of inflation that hit Germany after the start of the Russian war of aggression against Ukraine has come to an end. In October 2022, inflation in Germany skyrocketed to almost 9%.
For the current year, leading economic research institutes expect a relatively moderate inflation rate of 2.1% for Europe's Germany. That would be a similar level to the 2.2 percent in 2024.
