Euro Area Inflation Expectations Edge Down

2025-10-28 09:20 By Joana Taborda 1 min. read

Median consumer inflation expectations in the Eurozone fell to 2.7% in September 2025 from 2.8% in August.

Also, expectations for inflation three years ahead were unchanged at 2.5%, as were those for five years ahead, which remained at 2022-highs of 2.2%.

In addition, uncertainty about inflation expectations steadied.

Meanwhile, consumers’ nominal income growth expectations for the year ahead was at 1.1% and economic growth expectations were unchanged at -1.2%.

Expectations for the unemployment rate 12 months ahead also remained stable at 10.7%.

Consumers continued to expect the future unemployment rate to be only slightly higher than the perceived current unemployment rate (10.2%), suggesting a broadly stable labour market outlook.

On the other hand, consumers expected the price of their home to increase by 3.5% over the next 12 months, up from 3.4% in August.



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