INFLATION is hitting the Costa Blanca hard, with residents facing some of the sharpest price hikes in the country for everyday essentials.

Data from the National Institute of Statistics (INE) shows that the overall Consumer Price Index (CPI), which tracks inflation, is rising faster on the Costa Blanca than in other parts of Spain.

Nationally, inflation in Spain stands at 2.3 per cent, but in the province of Alicante, home to the Costa Blanca, it has risen above the national average to 2.7 per cent.

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After Madrid and Badajoz, with inflation rates of 2.9 per cent and 2.8 per cent respectively, Alicante is the province facing the steepest price rises. 

Rising prices are hitting the property market in the region hard: over the past year, the average house price in Alicante has jumped 17%, well above the national average of 13.1%, with the latest figures suggesting prices are set to keep climbing.

Everyday costs are also rising: food prices are up by 2.3?per cent, energy and water have surged by 6.4?per cent, and restaurant bills have climbed 4.8?per cent.

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The latest figures highlight the pressure on household budgets across the Costa Blanca. 

Meanwhile, escalating conflict involving Iran and US?Israeli forces is fueling global energy price volatility, adding another layer of pressure to inflation.

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