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Inflation into positive territory

by isleofman.com 11th December 2009

The annual rate of inflation in the Isle of Man rose to 1.3 per cent last month, up from zero in October.

The Treasury says the increase was largely due to the sharp fall in the Retail Price Index in November 2008, when the Bank of England cut the base interest rate.

The annual rate of inflation excluding housing costs was 3.4 per cent last month, compared with 2.6 per cent in October.

The annual rate of inflation shown by the Consumer Prices Index was 1.9 per cent in November.

The basket of common items used in the Retail Price Index was reset at a value of 100 in the year 2000, so a look through some of the indices gives a quick snapshot of how prices have moved since then, and over the last twelve months.

Mortgage interest payments are now at 78.5, down 22.4 per cent in the last year; housing prices are at 119.6, down 7.3 per cent in the past twelve months; but rent has gone up 5.5 per cent, and now stands at 181.9.

In foods, eating out still seems to represent good value, with restaurant meals dropping 0.5 per cent on last year, to stand at 150.3.

Overall, food products are down 9.6 per cent in the past year to 173. Within that group big movers include such common products as potatoes, up 24.9 per cent since 2008, and fish, which is more than double its 2000 value at 226, but actually dropped 2.7 per cent on last year.


Posted by isleofman.com
Friday 11th, December 2009 07:04pm.

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