What was Hungary’s inflation rate in 2025? Fresh official data explains

Hungary’s inflation rate continued to ease toward the end of 2025, but price changes remain uneven across different areas of daily life. The Hungarian Central Statistical Office (KSH) has published the latest data on inflation in 2025.

For the entire year of 2025, inflation averaged 4.4%, with services remaining the main driver of price increases.

What is Hungary’s inflation rate in 2025?

As of December 2025, Hungary’s year-on-year inflation rate stood at 3.3%, confirming a gradual slowdown compared to earlier periods. On a monthly basis, inflation was minimal, with prices rising just 0.1%, suggesting that inflationary pressure is currently stable rather than accelerating.

What was Hungary’s average inflation in 2025?

Over the full year, consumer prices rose by an average of 4.4% in 2025. Within this figure, services saw the strongest increase, rising by 6.7% on average, making them the single largest contributor to inflation last year.

Which everyday costs increased the most?

For most residents and expats alike, inflation was felt most strongly in services and household energy:

• Services rose by 6.8% year-on-year, including rent, healthcare, vehicle repairs, personal care, and travel services.
• Household energy prices increased by 8.9%, driven mainly by a sharp 19.8% rise in natural gas prices.
• Alcohol and tobacco prices climbed by 7.1%, with tobacco alone up 8.6%.

These categories directly impact monthly budgets, particularly for renters and families.

Price changes compared to December 2024

According to the KSH, food prices rose by 2.6% year-on-year. Excluding catering services, food prices actually fell by 0.3%, highlighting diverging trends within the category.

Within food products, the largest increases were recorded in:

• chocolate and cocoa products (+13.5%)
• sweet baked goods (+12.4%)
• coffee (+12.0%)
• buffet food (+11.8%)
• school meals (+8.1%)
• restaurant meals (+8.0%)
• non-alcoholic soft drinks (+6.6%)
• cooking oil (+5.8%)
• bakery products (+5.6%)
• eggs (+3.5%)

At the same time, several staple items became cheaper:

• margarine (–27.8%)
• flour (–11.6%)
• dairy products (–14.3%)
• milk (–12.3%)
• pork (–9.8%)
• cold cuts such as bologna and sausages (–5.5%)
• cheese (–5.3%)
• sugar (–4.0%)

For expats, this means supermarket inflation is less severe than service-related inflation, especially if eating out frequently.

Alcohol, tobacco, and energy costs rose sharply

Prices of alcoholic beverages and tobacco products increased by 7.1%, with tobacco alone up 8.6% year-on-year.

Household energy prices rose by an average of 8.9%, driven primarily by:

• piped natural gas (+19.8%)
• electricity (+2.2%)

Services remained the main inflation driver

Service prices increased by 6.8% compared to December 2024, confirming their role as the strongest inflationary factor. Notable rises included:

• holiday and travel services (+14.3%)
• personal care services (+9.8%)
• vehicle repair and maintenance (+9.6%)
• home repair and maintenance (+9.0%)
• healthcare services (+8.9%)
• sports and museum tickets (+8.7%)
• rents (+5.7%)

Durable goods, fuel, and pharmaceuticals

Prices of durable consumer goods rose by 2.7%, including:

• jewellery (+24.5%)
• furniture (+5.0%)
• heating and cooking equipment (+2.3%)
• new passenger cars (+2.7%)

Meanwhile, vehicle fuel prices fell by 8.6%, while pharmaceuticals and medical products increased by 5.1% year-on-year.

What happened to fuel prices?

Fuel prices provided some relief. Compared to December 2024, vehicle fuel prices dropped by 8.6%, and they also fell month-on-month in December. This helped offset rising costs in other areas, particularly for commuters and drivers.

How did prices change from November to December?

On a monthly basis, price movements were modest:

• Overall consumer prices rose by 0.1%
• Food prices declined slightly
• Household energy prices increased by 0.9%
• Service prices rose by 0.8%, led by holiday and travel services
• Fuel prices fell again

This suggests that inflation at the end of 2025 was relatively contained, without sudden spikes.

Are pensioners and fixed-income households affected differently?

Yes. According to the KSH, consumer prices for pensioner households increased by 4.5% on average in 2025, slightly above the national average. This reflects the heavier weight of energy and service costs in pensioners’ spending.

What does all this mean for expats living in Hungary?

For expats, the key takeaway is that inflation in Hungary is no longer surging, but daily costs are rising unevenly:

• Rent, utilities, and services remain the main pressure points
• Basic groceries are relatively stable, with several staples cheaper than a year earlier
• Fuel costs are lower, helping mobility and travel
• Eating out and lifestyle services are noticeably more expensive than home cooking

How does Hungary’s inflation compare to the EU?

In a European context, Hungary’s inflation remains slightly above the EU average, but the gap has narrowed significantly.

According to EU-wide data published by Eurostat, average inflation across the European Union in late 2025 was around 3%, while the eurozone average was slightly lower, closer to 2.5–2.8%.

With a 3.3% inflation rate in December 2025, Hungary now sits above the EU average, but no longer among the highest-inflation countries in the bloc. Earlier in the decade, Hungary frequently ranked near the top of EU inflation tables, making the current convergence a notable shift.

Why is Hungary still above the EU average?

Several structural factors explain why inflation in Hungary remains somewhat higher than in most EU countries:

• Higher energy sensitivity, particularly to natural gas prices
• Faster service price growth, including rent, healthcare, and repairs
• Weaker currency effects, as Hungary uses the forint rather than the euro

These factors tend to affect services and housing costs more than basic goods.

What does this comparison mean for expats?

For expats coming from Western Europe or the eurozone, Hungary may still feel more expensive in services than expected, even if groceries and fuel appear affordable.

For those arriving from Central or Eastern Europe, Hungary’s price dynamics are now broadly in line with regional peers, especially as inflation has cooled.

In simple terms:

• Hungary is no longer an inflation outlier in the EU
• Cost pressures are concentrated in services and housing, not everyday food shopping
• The inflation gap with Western Europe has narrowed, but not disappeared

FAQ for foreign workers in Hungary – Inflation in 2025