Consumer price index, 15 June 2008

The consumer price index (CPI) was 122.2 (1998=100) per June 2008 compared with 118.2 at the same time last year. This is equivalent to a year-to-year growth of 3.4 per cent, up from 3.1 per cent in May. The CPI-ATE showed no change from May to June 2008. The year-to year growth in the CPI-ATE was 2.4 per cent.

Transport prices contributed to monthly growth

The CPI rose by 0.2 per cent from May to June. The main contributor to this growth was higher prices of goods and services related to transport. Fuels and lubricants rose by 2.8 per cent, while airline fares increased by 25.7 per cent in June following a decrease in May. The prices of package holidays have increased since the last survey in June 2007, and were an important contributor to the CPI increase in June. Electricity rose in June after several months of falling prices.

The upward pressure was partly offset by seasonal sales and seasonal goods. The seasonal sales led to a 2.8 per cent fall in clothing prices. Furniture and audiovisual equipment also had lower prices in June than in May. In addition, prices of food fell by 0.9 per cent, mainly due to lower prices of vegetables grown in Norway.

Energy prices kept year-to-year growth high

The CPI rose by 3.4 per cent from June 2007 to June 2008. The main contributor was higher energy prices. Prices of electricity, gas and other fuels rose by 17.5 per cent from June last year while fuels and lubricants rose by 12.7 per cent. The CPI excluding energy goods (CPI-AE) rose by 2.3 per cent, significantly less than the growth in the CPI over the same period.

Higher prices of various services such as culture and leisure services, hotel and restaurant services and transport services also contributed to the yearly growth.

Prices of audiovisual equipment and clothing continued to fall, and contributed to dampen the year-to-year growth in the CPI.