Tax collection in the province increased by 18% due to inflation
Inflation has surged in Alicante, drawing widespread attention to how living costs are shifting. In September, the Consumer Price Index rose to 3.7 percent, slightly above the national average, driven by higher electricity and fuel bills. The monthly change reached 0.2 percent, surpassing August and marking the strongest uptick since last April when prices climbed to 4.3 percent. Food items also contributed to the gain, with oils and sugar showing remarkable price hikes of 42 percent and 40 percent respectively compared to the previous year.
Earlier years saw electricity, gas, and fuel costs retreat in September 2022, but this time a reverse trend emerged. A monthly increase of 0.9 percent occurred amid a geopolitical backdrop with the Israel-Gaza conflict, hinting at a continued rise in oil prices. Energy costs, while still behaving differently from a year earlier, were a major factor in the inflation trend, according to the National Statistics Institute.
The food and non-alcoholic beverages sector also played a key role in the latest CPI rise, registering a monthly change of 0.7 percent. The household shopping basket kept pushing higher, now showing an annual increase of 10.7 percent. In the food category, fats and sugars led the way, but pork posted a notable 14.7 percent increase; fresh legumes and vegetables rose by 12.8 percent; mineral water, soft drinks, and fruit juices climbed 12.3 percent; and milk rose 12.1 percent. On the opposite side, poultry meat increased by 2.6 percent, bread by 4.6 percent, and fresh and frozen fish by 6 percent.
Alcoholic beverages and tobacco rose 8.5 percent on an annual basis, while restaurants and hotels saw an 8.5 percent uptick in overall spending patterns. Entertainment and culture rose 5.5 percent, transportation and communications 4.3 percent, and furniture and household goods 4.1 percent. Clothing and footwear advanced 3.8 percent, health 2.3 percent, and teaching 1.7 percent.
Core inflation, which excludes the most volatile energy and unprocessed food prices, continued its retreat by three-tenths in September, landing at 5.8 percent. This marks the lowest rate seen since mid-2023.
Looking at the regional picture, Alicante sits among the provinces with a higher year-on-year inflation rate, ranking sixteenth within the state. The trend points to persistent price pressures across several categories, influencing household budgets and the broader economic climate in the region.