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The annual inflation rate in Denmark edged up to 1.6% in May 2025, from 1.5% in the previous two months, marking the highest rate since February. The increase was largely driven by a 5.2% rise in food and non-alcoholic beverage prices, the largest increase in three months, compared to 3.7% in April. Prices also rose at a faster pace for health (2.2% vs 1.6% in April) while rebounding for alcoholic beverages (0.2% vs -1.4%) and furnishing (0.4% vs -1.0%). Recreation and culture prices were flat after falling 0.3% in April. Inflation remained steady for miscellaneous goods and services (2.4%) and education (3.7%). Prices moderated for housing (2.2% vs 2.3%), restaurants (0.5% vs 4.5%), and communication (2.0% vs 2.3%). By contrast, prices fell for clothing (-0.8% vs -1.2%) and transport (-0.6% vs 0%). Meanwhile, core inflation, which excludes energy and unprocessed food, eased slightly to 1.6%, down from 1.7% in April. Monthly, CPI rose 0.1% in May, maintaining the same pace as in April.