December 14, 2022
According to England’s ONS (Office of National Statistics) the Consumer Prices Index including owner occupiers’ housing costs (CPIH) rose to 9.3% as at November 2022 while the Consumer Prices Index (CPI) rose to 10.7%. CPIH & CPI in October 2022 was 9.6% & 11.1% respectively. Although the annual rate eased between October and November 2022, the rates in these months are the highest observed for over 40 years. It was also noted that, “The October figure was the highest annual CPI inflation rate in the National Statistic series, which began in January 1997”.
Since November 2022, the largest upward contributions to the annual CPIH inflation rate came from increases in the divisions ‘housing and household services’ (principally from increases in electricity, gas, and other fuels) and increases in food and non-alcoholic beverages. On a monthly basis, CPIH rose by 0.4% in November 2022, compared with a rise of 0.6% in November 2021.
The largest downward contribution to the change in both the CPIH and CPI annual inflation rates between October and November 2022 came from transport, particularly motor fuels, with rising prices in restaurants, cafes and pubs making the largest, partially offsetting, upward contribution.
According to the Office of National Statistics, “The main drivers of the annual inflation rate for CPIH and CPI are the same where they are common to both measures. However, the owner occupiers’ housing costs (OOH) component accounts for around 17% of the CPIH and is the main driver for differences between the CPIH and CPI inflation rates. This makes CPIH our most comprehensive measure of inflation.”
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