France's Year-on-Year Inflation Rate Holds Steady at 0.9% in November 2025
France's inflation rate remains steady at 0.9% in November 2025 amid stable consumer spending and moderate GDP growth.
Key details
- Inflation stable at 0.9% year-on-year in November, unchanged from October.
- GDP grew 0.5% in Q3, driven by 3.2% export increase.
- Household purchasing power decreased significantly per consumption unit.
- Consumer spending increased 0.4% in October, led by higher energy and food consumption.
- Tobacco consumption declined for the sixth consecutive month, apparel spending slightly fell.
In November 2025, France’s consumer price inflation rate remained stable at 0.9% year-on-year, unchanged from October, according to the National Institute of Statistics and Economic Studies (Insee). This steadiness is largely attributed to a slowdown in service price rises alongside a significant drop in prices for manufactured goods. Economic indicators showed positive momentum with the Gross Domestic Product (GDP) growing by 0.5% in the third quarter, fueled by a notable 3.2% increase in exports.
Household purchasing power, however, has declined significantly when adjusted per consumption unit. Despite this, household consumption spending showed resilience: in October, expenditures rose by 0.4%, following a 0.3% increase in September. The energy consumption category saw a substantial 1.4% growth due primarily to increased gas and electricity use amid cooler weather, while food consumption also increased by 0.4%. Meanwhile, spending on manufactured goods stabilized after previous growth, and durable goods barely increased by 0.1%, with transportation equipment purchases, especially new vehicles, being the main driver.
Some spending categories reflected contraction; tobacco consumption declined for the sixth consecutive month, and apparel and textile expenditures decreased slightly by 0.1%. These trends illustrate a cautious yet persistent consumer demand despite the decline in purchasing power.
Overall, the data point to a balanced inflation scenario with steady economic growth and nuanced shifts in consumer spending patterns in France as of late 2025.