Prices on average, as measured by the CPI, were 0.7% higher in January compared with January 2018.

The most notable changes in the year were increases in Housing, Water, Electricity, Gas & Other Fuels (+4.4%), Restaurants & Hotels (+3.7%), Alcoholic Beverages & Tobacco (+2.7%) and Education (+1.7%).  There were decreases in Furnishings, Household Equipment & Routine Household Maintenance (-3.3%), Miscellaneous Goods & Services (-1.8%), Food & Non-Alcoholic Beverages (-1.5%) and Clothing & Footwear (-1.5%).

Consumer Prices in January, as measured by the CPI, decreased by 0.7% in the month.  During January of last year, prices also fell by 0.7% in the month.  The most significant monthly price changes were decreases in Clothing & Footwear (-9.2%), Transport (-3.1%) and Furnishings, Household Equipment & Routine Household Maintenance (-2.0%).  There were increases in Alcoholic Beverages & Tobacco (+3.2%) and Communications (+1.5%). 

Contributions to the overall CPI – annual change

Table 17 shows the contribution of each 2-digit COICOP¹ division to the overall change in the CPI.  A detailed breakdown of the individual components of each of the 12 COICOP divisions is presented in Tables 4 to 15.

The divisions which caused the largest upward contribution to the CPI in the year were Restaurants & Hotels (+0.69%), Housing, Water, Electricity, Gas & Other Fuels (+0.62%) and Alcoholic Beverages & Tobacco (+0.16%).

The divisions which caused the largest downward contribution to the CPI in the year were Miscellaneous Goods & Services (-0.21%), Transport (-0.17%), Food & Non-Alcoholic Beverages (-0.16%) and Furnishings, Household Equipment & Routine Household Maintenance (-0.16%).

The main factors contributing to the annual change were as follows:

• Restaurants & Hotels increased mainly due to higher prices for alcoholic drinks and food consumed in licensed premises, restaurants, cafes etc. and an increase in the cost of hotel accommodation.
• Housing, Water, Electricity, Gas & Other Fuels rose primarily due to higher rents and mortgage interest repayments in addition to an increase in the price of electricity and gas.
• Alcoholic Beverages & Tobacco increased mainly due to higher prices for tobacco products.
• Miscellaneous Goods & Services fell primarily due to lower health and motor insurance premiums and a reduction in prices for appliances, articles & products for personal care. This reduction was partially offset by higher prices for hairdressing salons & personal grooming establishments and house insurance premiums.
• Transport decreased mainly due to a decrease in air fares which was partially offset by an increase in the cost of motor cars and higher prices for passenger transport by road.
• Food & Non-Alcoholic Beverages fell due to lower prices across a range of products such as meat, bread & cereals, sugar, jam, honey, chocolate & confectionery and fruit.
• Furnishings, Household Equipment & Routine Household Maintenance decreased primarily due to the reduced cost of non-durable household goods, furniture & furnishings, household textiles and glassware, tableware & household utensils.

Contributions to the overall CPI – monthly change

The divisions which caused the largest downward contribution to the CPI in the month were Transport (-0.45%), Clothing & Footwear (-0.44%) and Furnishings, Household Equipment & Routine Household Maintenance (-0.10%).  The divisions which caused the largest upward contribution in the month were Alcoholic Beverages & Tobacco (+0.18%) and Restaurants & Hotels (+0.11%). 

The main factors contributing to the monthly change were as follows:

• Transport decreased primarily due to lower prices for petrol and diesel and a decrease in air fares.
• Clothing & Footwear fell due to sales.
• Furnishings, Household Equipment & Routine Household Maintenance decreased mainly due to the reduced cost of furniture & furnishings, household textiles and glassware, tableware & household utensils.
• Alcoholic Beverages & Tobacco rose primarily due to higher prices for alcoholic beverages sold in supermarkets and off licences.
• Restaurants & Hotels increased due to higher prices for alcoholic drinks and food consumed in licensed premises, restaurants, cafes etc. which was partially offset by a reduction in the cost of hotel accommodation.

CPI sub-indices

The sub index for Services rose by 2.1% in the year to January, while Goods decreased by 1.1%.  Services, excluding mortgage interest repayments, increased by 2.0% in the year since January 2018.

The CPI excluding tobacco decreased by 0.6% in the month of January and rose by 0.6% in the year.  The CPI excluding mortgage interest decreased by 0.7% in the month and rose by 0.7% in the year.

Harmonised Index of Consumer Prices

Prices on average, as measured by the EU Harmonised Index of Consumer Prices (HICP), increased by 0.8% compared with January 2018.

The most notable changes in the year were increases in Housing, Water, Electricity, Gas & Other Fuels (+5.1%), Restaurants & Hotels (+3.7%), Alcoholic Beverages & Tobacco (+2.7%) and Education (+1.7%).  There were decreases in Furnishings, Household Equipment & Routine Household Maintenance (-3.2%), Food & Non-Alcoholic Beverages (-1.6%), Clothing & Footwear (-1.5%) and Transport (-1.2%).

The HICP decreased by 0.7% in the month.  This compares to a decrease of 0.7% recorded in January of last year.

The most significant monthly price changes were decreases in Clothing & Footwear (-9.2%), Transport (-3.2%) and Furnishings, Household Equipment & Routine Household Maintenance (-1.9%).  There were increases in Alcoholic Beverages & Tobacco (+3.3%) and Communications (+1.6%).

¹ Classification of Individual Consumption by Purpose Adapted to the Needs of Harmonised Indices of Consumer Prices (2000).