NEW REPORT: Grocery Prices See Biggest Spike Since 2022 as Iowa’s Economy Falls Further Behind

DES MOINES, IA – A new report from the Consumer Price Index shows grocery prices rose at the fastest pace in three years, jumping 0.7% in December 2025 — the largest monthly increase since the height of inflation in August 2022 — and are up 2.4% since December 2024.

At a time when families are already stretched thin, rising grocery bills are putting even more pressure on household budgets across Iowa — not because Iowans aren’t working hard, but because paychecks aren’t keeping up with the cost of living. Iowa’s economy continues to lag behind the rest of the country, ranking 48th in personal income growth. This means that while grocery prices are skyrocketing across the country, Iowans are being hit the hardest, with less money in their pockets to cover these costs.

Earlier this week, the Philadelphia Federal Reserve ranked Iowa 50th — dead last — in the nation for economic growth. At the same time, analysis from Moody’s Analytics warned that Iowa is either already in, or at high risk of entering, a recession — a clear sign the state’s economy is under serious strain.

“For hardworking Iowans, rising food costs are eating up paychecks that already aren’t growing fast enough,” said candidate for governor Rob Sand. “Iowa’s economy is stalling, costs are too high, and wages are stagnant. Our leaders should be focused on fixing these problems — instead, they’re distracted by political games and culture wars while families struggle to get by. That’s why as governor, my top priority will be making life more affordable putting money back in Iowans’ pockets.”