Austria Inflation Rate Eases to 3-Month Low

The annual inflation rate in Austria slowed to 3.2% in June 2026 from a five-month high of 3.7% in the previous month, confirming preliminary estimates. This marked the lowest reading since March, as price pressures eased mainly due to a moderation in fuel and heating oil inflation, while food prices also rose at a slower pace. Despite the slowdown, transport remained the largest contributor to inflation, with prices rising 6.5%, driven by fuel prices that were still 16.3% higher than a year earlier and airfares that surged 22.4%. Housing and utilities rose 3.0%, while restaurants and accommodation services increased 4.5%. Health costs climbed 4.4%, whereas food and non-alcoholic beverages rose a modest 1.3%. On a monthly basis, consumer prices were unchanged in June after rising 0.1% in May. The annual harmonised inflation rate (HICP) was revised up to 3.2% from an initial estimate of 3.1%, while the monthly HICP was flat.

Austria’s annual inflation rate eased to 3.2% in June 2026 from 3.7% in the previous month, preliminary estimates showed. It marked the lowest reading since March, largely due to a slower increase in energy costs, which slowed to 5.4% from 9.8% in May, as fuel and heating oil prices exerted significantly less upward pressure than in the previous month. Inflation also moderated for food, alcohol, and tobacco, slowing to 1.5% from 2.2%, while price growth for industrial goods edged lower to 1.1% from 1.3%. In contrast, services remained the main driver of inflation, with prices climbing 4.4%. On a monthly basis, consumer prices were flat in June, following a 0.1% increase in May. Meanwhile, the harmonised inflation rate stood at 3.1% annually and declined 0.3% from the previous month.

The annual inflation rate in Austria rose 3.7% in May 2026 from 3.4% in the previous month, matching preliminary estimates. This marked the highest reading since November 2025, driven by faster price growth in transportation (8.8% vs. 7.7% in April) and miscellaneous goods and services (4.8% vs. 3.9%). Meanwhile, inflation remained steady in housing and utilities (3.3%), recreation and culture (1.0%), education (5.4%), and insurance and financial services (4.2%). Additionally, deflation eased in information and communication (-1.0% vs. -2.3%). On the other hand, price growth moderated in food and non-alcoholic beverages (2.2% vs. 2.4%), alcoholic beverages and tobacco (2.0% vs. 3.5%), health (4.4% vs. 4.5%), and restaurants and hotels (4.7% vs. 4.9%). On a monthly basis, consumer prices increased 0.1% in May, slowing from a 0.4% rise in the previous month. The harmonised inflation rate (HICP) also accelerated to 3.7% year-on-year from 3.4% in April.