Inflation in Spain reaches 1.4%

Spanish Inflation has reached its largest monthly increase since December 2008, with the rate increasing 0.7% on February.

This now takes the annual inflation rate to 1.4%, while the underlying rate once energy costs and food items have been removed now stands at 0.2%.

These preliminary figures for the month of March were detailed in a report by the National Statistics Institute.

The figures, which were release earlier today, show that the Transport sector leads the price increases, up 8.1% on the previous year.

This should come as no surprise given that the cost of crude oil is currently around 80$ per barrel, twice what it was 12 months ago when inflation in Spain fell into the red.