Inflation falls to 1.1%
15 January 2009
Inflation was at the lowest rate in Ireland in 12 years in December, according to new data released by the Central Statistics Office (CSO). The annual inflation rate stood at 1.1% in December, compared with 2.5% in November and 4% in October respectively.
Average inflation in 2008 was 4.1% compared with 4.7% in 2007. The biggest contributing factors to December's fall were reductions in the contributions from water, electricity, gas and other fuels, food and transport.
The CSO data shows inflation continues to be driven by mortgage interest and energy prices, food and non-alcoholic beverages. Between them they made up three quarters of the 1.1% inflation rate in December. Prices for food and non-alcoholic beverages showed a 3.2% growth a 12-month period and just 0.1% over a one-month period Food prices were unchanged in the month and stood at 3% in December 2008.
CSO Product and Service Group
| 1 month %Change | 12 months %Change |
Food and Non-Alcoholic Beverages
| +0.1% | +3.2% |
Alcoholic Beverages and Tobaccos
| - | +6.8% |
Clothing and Footwear
| -2.7% | -6.5% |
Housing, Water, Electricity, Gas and Other Fuels
| -4.4% | -0.5% |
Furnishings, Household Equipment and Routine Maintenance
| +0.2% | -1.3% |
Health
| -0.1% | +5.8% |
Transport
| -2.9% | -3.5% |
Communications
| - | +0.8% |
Recreation and Culture
| +0.5% | +1.5% |
Education
| - | +5.7% |
Restaurants and Hotels
| -0.1% | +3.7% |
Miscellaneous Goods and Services
| +0.2% | +2.8% |
| All items | -1.2% | +1.1% |