German inflation rises to 2.8% in July as energy prices surge

Herz — Business Desk · 30 July 2026 at 15:21 · 30s summary · 2 min read

What the figures show

Germany’s annual inflation rate reached 2.8% in July 2026, Handelsblatt reported, citing a flash estimate published on July 30 by the Statistisches Bundesamt, Germany’s Federal Statistical Office.

Annual inflation measured by Germany’s national consumer price index stood at 2.3% in June. The harmonised index used for comparisons across Europe was 2.4%.

Energy was the main source of inflation in July, with prices rising by 8.3% from a year earlier.

Why energy prices rose

The German government reduced the energy tax on diesel and petrol in May and June. The temporary fuel discount, known in Germany as the Tankrabatt, expired as planned at the end of June, causing pump prices to rise markedly.

Middle East tensions linked to the war against Iran also supported energy prices. European Brent crude rose by about 25% from the previous month.

European natural gas prices increased by more than a third over the preceding weeks.

Core inflation eases

Inflation excluding energy and food stood at 2.4% in July, down from 2.5% in both May and June.

National inflation had peaked at 2.9% in April, after the war against Iran began, before falling to 2.3% in June.

Companies’ price expectations

The ifo Institute’s July survey found that fewer German companies planned to raise their prices in the coming months.