Euro area inflation rises to 4.0%, as energy inflation rises by a fifth

Energy inflation rose to 20.8% in the euro area in October, pushing annual inflation in the block up to 4.0%, new data from Eurostat has revealed.

This is up from 3.8% the previous month, the flash estimates revealed. Energy inflation in September stood at 18.9%.

Inflation drivers

Services inflation also increased month-on-month, reaching 3.3%, compared with 3.2% the previous month.

Elsewhere, food, alcohol and tobacco inflation rose to 1.6%, up from 1.3% in September, while non-energy industrial goods inflation increased to 1.2% from 1.1%, Eurostat noted.

Within the food category, unprocessed food inflation accelerated to 4.6%, compared with 4.0% in September. Processed food, alcohol and tobacco inflation increased marginally to 0.5%, from 0.4%.

Lithuania leads the way

Lithuania reported the highest annual inflation rate in the euro area in October, of 6.1%, ahead of Bulgaria (6.0%), Greece (5.6%) and Italy (5.6%), Eurostat’s data showed.

Italy experienced the largest month-on-month increase among euro area countries, with prices rising by 1.2% compared with September. Belgium recorded a monthly increase of 1.1%, while the Netherlands recorded 0.9%. Read more here.

Inflation Rates (Estimated) – October 2026 (%)

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