Consumers paid 4.7 per cent more in August 2022 than they did a year ago for the basket of goods and services included in the Consumer Price Index [CPI].
The Ministry of Economy and Labour released the August 2022 CPI from the Department of Statistics.
“In summary, during August 2022, consumers paid 4.7 per cent more than they did a year ago for the basket of goods and services included in the CPI. This level of inflation increased 0.2 percentage points from the July 2022 annual inflation rate of 4.5 per cent.
“The Food sector was the largest contributor to the twelve-month increase in the CPI (+9.5 per cent). On average, increases were reported in the cost of fruit juices (+21.9 per cent), bread (+21.1 per cent), frozen entrees (+20.7 per cent) and delicatessen meals (+7.2 per cent).
“The Transport & Foreign Travel sector impacted the annual rate of inflation with a year-over-year increase of 9.1 per cent. On average, annual increases were reported in the price of overseas hotel stays (+53.7 per cent), airfares (+14.3 per cent), car fuel (+4.9 per cent) and new cars (+2.2 per cent).
“The Education, Recreation, Entertainment & Reading sector also impacted the annual rate of inflation (+4.8 per cent).
“The average cost of televisions and pleasure boats rose 18.0 per cent and 13.1 per cent, respectively.
“Rising fuel costs placed upward pressure on the annual inflation rate for the Fuel and Power sector (+15.2 per cent). Compared to August 2021, the fuel adjustment cost for 700 residential kilowatts hours of electricity advanced 49.2 per cent. In addition, the average cost of propane fuel increased 11.9 per cent.
“Between July 2022 and August 2022, the average cost of goods and services in the CPI rose 0.2 per cent.
“Additional areas of note between July 2022 and August 2022 were as follows:
Ø The Food sector increased 1.0 per cent in August. Notable price changes were observed for tenderloin (+8.4 per cent), frozen entrees (+3.4 per cent) and soft drinks (+2.9 per cent). In addition, delicatessen meals increased 0.8 per cent.
Ø The Household Goods, Services & Supplies sector rose 0.5 per cent for the month. Consumers experienced higher prices in the average cost of air conditioners (+38.3 per cent), water delivery (+13.0 per cent) and refrigerators and freezers (+4.8 per cent).
Ø The Education, Recreation, Entertainment & Reading sector moved up 0.4 per cent. The average cost of pleasure boats and video disc players increased 7.3 per cent and 3.5 per cent, respectively.
Ø The Tobacco & Liquor sector advanced 0.6 per cent. Price increases were recorded for beer (+1.7 per cent), wines (+0.6 per cent) and spirits (+0.4 per cent).
Ø The Transport & Foreign Travel sector lost ground in August, declining 0.9 per cent. The average cost of airfares and motorcycles slipped 9.4 per cent and 0.8 per cent, respectively.
*Note: In summary, each month, the Government measures the annual rate of inflation and the monthly rate of inflation - annual rates are changes from the same month last year, and monthly rates are the changes from the previous month. The August 2022 Consumer Price Index is available online at www.gov.bm/bermuda-business-statistics.