Luxembourg Inflation Rate Rises from 2.2% to 2.9% in September

On Wednesday 7 October 2026, Luxembourg's national statistical institute, STATEC, reported that the annual inflation rate rose to 2.9% in September 2026, up from 2.2% in August.

STATEC attributed the acceleration to the recent rebound in oil prices and a greater contribution from service prices. After several months of consecutive falls, the trend in energy prices reversed, with prices rising by 6.4% in one month and standing 12% higher than in September 2025.

The increase was particularly marked for heating oil, with prices jumping by 12.6% month-on-month and 61.4% year-on-year. Motor fuel prices also rose compared with the previous month: the price per litre of diesel increased by 8.5% and that of petrol by 8.8%. Year-on-year, the price per litre of diesel rose by 44.2% and that of petrol by 25.0%. By contrast, gas and electricity prices remained unchanged in September.

Prices for services rose by 3.4% year-on-year, compared with 2.6% in August. This acceleration was due to the rise in fees for creches and "maisons relais" (childcare centres), which were up 13% compared with September 2025. However, STATEC noted that this is a volatile figure, as "maisons relais" are free during term time and charge fees during school holidays, with a significant fall expected next month.

Package holiday prices were 5.6% higher year-on-year but down 6.9% compared with August 2026. Airfares were also up compared with September 2025 (+8.6%) but down compared with the previous month (-13.6%). Price increases were observed in the catering sector (+0.2% month-on-month and +3.4% year-on-year). With the start of the new school year, fee rises were recorded for private primary and secondary education, up 2.5% and 1.0%, respectively. On the other hand, fee reductions were recorded for language courses (-0.75%).

Food prices, including alcoholic drinks and tobacco, rose by 1.8% year-on-year in September 2026. Certain categories recorded particularly sharp increases, notably fruiting vegetables, including tomatoes, peppers, courgettes and cucumbers (+20.8% year-on-year), frozen fruit (+6.6%) and fresh meat (+3.5%). Conversely, prices for pasta (-4.7%), citrus fruits (-3.6%) and stone fruits (-2.7%) were down compared with September 2025.

The aggregate for non-energy industrial goods showed the lowest year-on-year increase (+0.8%). The strongest year-on-year growth was recorded for newspapers (+7.5%). Price rises were also recorded for household cleaning and maintenance products (+4.3% year-on-year and +1.3% month-on-month). On the other hand, bicycle prices fell by 4.9% compared with September 2025 and by 3.6% month-on-month.

The annual inflation rate thus stood at 2.9% in September, compared with 2.2% over the previous three months. The all-items index excluding energy rose from 1.9% to 2.2%. The all-items index for September, expressed on a 2025 base of 100, stood at 103.89 points. The half-yearly average of the index, linked to the base date of 1 January 1948, rose from 1,054.27 to 1,058.56 points. STATEC noted that the next indexation will be triggered when the value of 1,064.75 is reached, with the cumulative rise in prices therefore standing at 1.90% since the last index adjustment.