On Thursday, the Minister of Economy and Labour, the Hon. Jason Hayward, JP, MP, released the December 2021 Consumer Price Index (attached) publication from the Department of Statistics.

The Minister explained, “In December 2021, consumers paid 2.7 per cent more than they did in December 2020 for the basket of goods and services.” 

Minister Hayward added, “The Transport & Foreign Travel sector continued to be the largest contributor (+12.0 per cent) to the twelve-month increase in the CPI.  On average, annual increases were reported in the cost of premium fuels (+11.5 per cent), mixed fuels (+10.8 per cent) and cars (+1.1 per cent).  The Food sector and the Health & Personal Care sector also impacted strongly on the annual rate of inflation, as price increases in these sectors were 3.8 per cent and 3.2 per cent, respectively.”

“Between November 2021 and December 2021, the average cost of goods and services decreased 0.2 per cent.”

Additional areas of note between November and December 2021 are as follows:

Ø  The price of premium fuels fell 2.2 per cent. As a result, the Transport & Foreign Travel sector declined 1.4 per cent.

Ø  The Tobacco & Liquor sector declined 0.3 per cent for the month as the average price of wines dipped 0.9 per cent. 

Ø  The Health & Personal Care sector fell 0.1 per cent in December.  Decreases were reported in the average cost of toiletries, cosmetics and perfumes (-0.8 per cent) and self-prescribed medicines and household medical supplies (-0.6 per cent).

The Minister explained, “The 2021 annual average inflation rate was 1.5 per cent, up from the 0.0 per cent annual average inflation rate of 2020.  The sectors that primarily influenced the increase in the 2021 annual average were Transport & Foreign Travel  (+6.4 per cent),  Health & Personal Care (+2.3 per cent),  Education, Recreation, Entertainment & Reading  (+2.0 per cent) and Household Goods, Services & Supplies (+1.7 per cent).”