Irish Inflation Back in Positive Territory

Irish consumer prices rose 0.4 percent year-on-year in May 2018, recovering from a 0.4 percent drop in the previous month, but missing market expectations of a 0.6 percent increase.
CSO | Joana Ferreira | 6/7/2018 10:25:40 AM
The largest upward contribution to the CPI came from: housing & utilities (5.5 percent vs 4.8 percent in April), mainly due to higher rents and an increase in the price of home heating oil and electricity; restaurants & hotels (2.4 percent vs 2.2 percent), primarily due to higher prices for alcoholic drinks and food consumed in licensed premises, restaurants, cafes etc. and an increase in the cost of hotel accommodation; and transport (1.4 percent vs -4 percent), mainly due to higher prices for diesel and petrol, a rise in air fares and an increase in the cost of hiring personal transport equipment. 

On the other hand, prices fell for: miscellaneous goods & services (-3.6 percent vs -3.8 percent), primarily due to lower health and motor insurance premiums and lower prices for appliances, articles & products for personal care; food & non-alcoholic beverages (-2.3 percent vs -2 percent), due to lower prices across a range of products such as meat, jam, honey, chocolate & confectionery, vegetables and bread & cereals; and furnishings, household equipment & routine household maintenance (-4 percent vs -3.7 percent), due to the reduced cost of non-durable household goods, furniture & furnishings, household textiles and glassware, tableware & household utensils.

The core index, which excludes energy and unprocessed food, edged up 0.1 percent in May after falling by 0.6 percent in April.

On a monthly basis, consumer prices surged 0.6 percent in May, after a 0.2 percent drop in April. The most significant monthly price changes were increases in transport (1.9 percent), and restaurants & hotels (0.9 percent).

The harmonised index of consumer prices rose by 0.7 percent from the previous year; and by 0.6 percent from the previous month.

Irish Inflation Back in Positive Territory