The rise is larger than in the 12 months to the June quarter
The cost of living for the average New Zealand household rose by 7.4% in the 12 months to the September quarter, following a 7.2% rise in the 12 months to the June quarter, Stats NZ reported.
“The cost-of-living increase for the average household as measured by the household living-costs price indexes was larger in the 12 months to the September 2023 quarter than the 12 months to the June 2023 quarter,” said James Mitchell, consumer prices manager.
“In contrast, CPI inflation eased over the same time period. Our cost-of-living measure includes additional ongoing costs that aren’t included in the CPI, such as interest rates that have increased by 27% for the average household over the past 12 months.”
In the year to the September quarter, 10 out of the 13 household groups, along with the average household, experienced a higher annual increase compared to the 12 months prior.
The household living-costs price indexes track inflation’s impact on 13 household groups, including the average household, while the CPI measures inflation for all of New Zealand. CPI is mainly for monetary policy, while HLPIs reveal the cost of living for diverse household groups.
“Food and housing continued to be the key drivers of inflation for all household groups,” Mitchell said.
Stats NZ data showed that inflation from the September 2022 quarter to the September 2023 quarter varied across different household groups, with the average household experiencing a 7.4% increase, beneficiaries at 6.7%, Māori at 7.4%, superannuitants at 6.7%, highest-spending households at 7.7%, and lowest-spending households at 7.2%.
For the average household, the 7.4% increase in living costs in the 12 months to the September quarter followed a 7.2% rise in the 12 months to the June quarter.
The most significant contributors to the increase were higher prices for interest payments (+27.4%) and grocery food (11.1%), which encompasses non-perishable food, dairy products, and eggs. Also contributing to the increase were rent (+5%), insurance (+12.9%), and property rates and related services (+9.6%.)
For more information, access the media release on the Stats NZ website or read about the CPI for the September 2023 quarter.
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