Inflation rate remains static at 2.7%

The annual rate of inflation remained unchanged at 2.7 per cent in June, according to the latest data.

The annual rate of inflation remained unchanged at 2.7 per cent in June, according to the latest data.

The CSO’s Consumer Price Index showed inflation has remained static since hitting a 30-month high of 3.2 per cent in April.

The figures showed prices fell by 0.1 per cent in June on back of lower prices for clothes and household furnishings in the summer sales.

However, this was offset by a combination of higher prices in the hotel and restaurant sector and higher mortgage interest costs.

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The latest figures do not take into the account the VAT rate reduction on tourism-related activities introduced by the Government on July 1st.

The CPI excluding tobacco for June decreased by 0.1 per cent which corresponded to an annual rate of 2.8 per cent.

When energy products are excluded, the CPI remained unchanged in the month and increased 1.9 per cent in the year.

The CPI excluding mortgage interest decreased by 0.2 per cent in the month and rose by 1.6 per cent in the year.