The decrease in inflation is mainly due to the trend in fuel and food prices. In June, motor fuels were more than 23% cheaper than in June 2022. In May, prices were more than 18% lower than in the same month a year earlier. Food was 13.1% more expensive in June than last year. In May, the annual price increase was 15.2%.
The trend in energy prices, such as electricity, gas and district heating, instead had a growing effect on the inflation trend. Energy was 19.1% cheaper in June than in the same month last year. In May, prices were still 24.9% lower than twelve months earlier.
More expensive tobacco
Tobacco cost 14.7% more in June than in the same month of the previous year. In May it was 1.5%. The increase in excise duties on tobacco products from 1 April 2023 has resulted in a rise in prices. Since tobacco stocks were still sold at the old excise rates in the first months after the excise duty increase, the excise duty increase has a slightly lagged effect on sales prices.
In June, the statistics office used a new method to measure energy prices in the inflation rate for the first time. For the new method, household contract data is collected from energy suppliers. Based on these data, it is more accurately calculated what tariffs households actually pay for gas and electricity. In the old method, only the prices of the new contracts that households can conclude with energy suppliers were used.