Daily life became 0.4 percent cheaper in October compared to the same month last year, Statistics Netherlands (CBS) said in a preliminary estimate. According to the Central Statistical Office, the negative inflation in October was entirely due to particularly high energy prices in October 2022. Excluding energy, inflation in the quick estimate was 5.1 percent.
In September, consumer goods and services remained 0.2% higher than a year earlier. This was the lowest inflation rate since September 2016. In September, inflation excluding energy was 5.5 percent. In the first half of 2023, inflation excluding energy and motor fuels was higher than now, peaking at 8.1% in February and March.
The decline in inflation does not mean that prices fell in October 2023 compared to September 2023. Compared to the previous month, prices for consumers rose 0.5 percent in October, according to the quick estimate. CBS is scheduled to publish the full inflation numbers on November 7.
People at the supermarket haven’t noticed the decline in inflation yet. Food, beverage and tobacco prices were still 8.7 percent higher in October than a year earlier. In September, these goods became 10% more expensive.
The development of energy prices – gas, electricity and district heating, for example – has had a significant impact on inflation for some time. This is mainly due to the rise in prices last year. Energy prices are now much lower than they were in 2022. Energy, including motor fuel, is more than 40 percent cheaper this month. In September, energy prices had already fallen by more than 38%.
According to the European measurement method, which differs slightly from the Central Statistical Office’s measurement method, prices fell by 1 percent year-on-year. In September, there was a decline in prices of 0.3 percent. The agreed method within the European Union for measuring inflation does not take into account the costs of living in your home. The inflation rate for the entire Eurozone will be announced later today.
