Prices on average, as measured by the CPI, were 1.3% higher in January compared with January 2019.

The most notable changes in the year were increases in Education (+4.1%), Alcoholic Beverages & Tobacco (+3.8%), Housing, Water, Electricity, Gas & Other Fuels (+3.5%) and Transport (+3.1%).  There were decreases in Communications (-10.6%), Furnishings, Household Equipment & Routine Household Maintenance (-2.7%) and Food and Non-Alcoholic Beverages (-1.1%).

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 (-7.0%), Transport (-2.3%) and Furnishings, Household Equipment & Routine Household Maintenance (-2.3%).  There were increases in Alcoholic Beverages & Tobacco (+3.9%) and Recreation & Culture (+0.5%).

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 Housing, Water, Electricity, Gas & Other Fuels (+0.50%), Transport (+0.45%), Restaurants & Hotels (+0.26%) and Alcoholic Beverages & Tobacco (+0.18%).

The divisions which caused the largest downward contribution to the CPI in the year were Communications (-0.32%), Furnishings, Household Equipment & Routine Household Maintenance (-0.14%) and Food and Non-Alcoholic Beverages (-0.12%).

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

• Housing, Water, Electricity, Gas & Other Fuels rose mainly due to higher rents and mortgage interest repayments in addition to an increase in the cost of home heating oil and electricity. 
• Transport increased primarily due to higher prices for petrol and diesel and an increase in the cost of motor cars.
• Restaurants & Hotels rose 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.
• Alcoholic Beverages & Tobacco increased primarily due to higher prices for tobacco products. 
• Communications fell due to a reduction in the cost of telephone & telefax equipment and telephone & telefax services.
• Furnishings, Household Equipment & Routine Household Maintenance decreased primarily due to the reduced cost of furniture & furnishings, non-durable household goods and household textiles.  This decrease was partially offset by an increase in the cost of domestic & household services.
• Food and Non-Alcoholic Beverages fell due to lower prices across a range of products such as vegetables, sugar, jam, honey, chocolate & confectionery and mineral waters, fruit & vegetable juices.

Contributions to the overall CPI – monthly change

The divisions which caused the largest downward contribution to the CPI in the month were Transport (-0.33%) and Clothing & Footwear (-0.32%).  The divisions which caused the largest upward contribution in the month were Alcoholic Beverages & Tobacco (+0.18%) and Recreation and Culture (+0.04%).

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

• Transport decreased primarily due to a reduction in air fares and and the cost of other services in respect of personal transport equipment.  This decrease was partially offset by higher prices for diesel and petrol.
• Clothing & Footwear fell due to sales.
• Alcoholic Beverages & Tobacco increased primarily due to higher prices for alcoholic beverages sold in supermarkets and off licences.
• Recreation & Culture rose mainly due to an increase in the cost of cultural services.

CPI sub-indices

The sub index for Services rose by 2.2% in the year to January, while Goods remained unchanged.  Services, excluding mortgage interest repayments, increased by 2.2% in the year since January 2019.

The CPI excluding tobacco decreased by 0.7% in the month of January and rose by 1.1% in the year.  The CPI excluding mortgage interest decreased by 0.7% in the month and rose by 1.3% in the year.

Harmonised Index of Consumer Prices

Prices on average, as measured by the EU Harmonised Index of Consumer Prices (HICP), increased by 1.1% compared with January 2019.

The most notable changes in the year were increases in Education (+4.1%), Alcoholic Beverages & Tobacco (+3.8%), Housing, Water, Electricity, Gas & Other Fuels (+3.6%) and Transport (+3.3%).  There were decreases in Communications (-10.5%), Furnishings, Household Equipment & Routine Household Maintenance (-2.8%) and Food and Non-Alcoholic Beverages (-1.1%).

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 (-7.0%) and Transport (-2.4%).  There were increases in Alcoholic Beverages & Tobacco (+3.9%) and Recreation & Culture (+0.5%).

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