Inflation rose 1% in the first three months of 2024, higher than the 0.6% increase in the December quarter of 2023.
Inflation in the last 12 months is now at 3.6%. The Australian Bureau of Statistics stated that “while prices continue to rise for most goods and services, inflation was down from 4.1% last quarter and has fallen from the peak of 7.8% in December 2022.” 3.6% annual inflation is the lowest annual rate since December 2021.
The biggest contributors to inflation in the March quarter were education (up 5.0%), health (up 2.8%) and rent (up 2.1%). Rental prices rose 7.8% in the year, this is the highest annual rent price increase since March 2009.
Another critical business input cost, insurance, has seen prices rise 16.4% in the year, and many types of insurance have inflated even more. This is the highest annual increase in 23 years.
The Reserve Bank will rely on this data when it makes its next monetary policy decision on 7 May.
