Inflation reaches 2.6 percent, food prices rise for the first time this year – News of the World

“The year-on-year development of consumer prices in September was, just like in August, heavily influenced by food and fuel prices. Food prices have increased year after year for the first time since last November,” said Pavla Šedivá, head of the Consumer Price Statistics Department of the CZSO.

Even in August, prices of food and non-alcoholic beverages fell by 1.8 percent year-on-year, but in September they increased by 0.6 percent. “For example, long-term semi-skimmed milk prices were higher in September compared to last year by about 20 percent, butter by about 43 percent and chocolate products by 22 percent,” Šedivá said.

On the other hand, fuel and oil prices were down more than 11 percent year-on-year in September.

Year-on-year growth was mainly driven by house prices. Water became more expensive by about one tenth, sewage by 13 percent, electricity by almost nine percent. Natural gas prices were about four percent lower compared to last year.

They also continue to make services more expensive, where the prices were higher year after year by only five percent, while the prices of goods as a whole increased by only 1.2 percent.

For example, prices in food services were higher by nearly seven percent, and in accommodation services by nearly nine percent. “Hotels and restaurants have been riding the wave of price increases ever since covid. Compared to 2019, the prices of accommodation and catering services are on average 65 percent higher,” said Creditas Bank’s chief economist, Petr Dufek.

According to him, it is impossible not to notice the increase in apartment prices in the September figures. “So far these are symbolic increases, but it is only a matter of time before this effect becomes more visible due to an increase in the property market. Anyway, rents are growing faster than six percent,” he said.