The Consumer Price Index (CPI) rose 1.0 per cent in the March 2024 quarter and 3.6 per cent annually, according to the latest data from the Australian Bureau of Statistics (ABS).
Michelle Marquardt, ABS head of prices statistics, said: “The CPI rose 1.0 per cent in the March quarter, higher than the 0.6 per cent rise in the December 2023 quarter.
“Annually, the CPI rose 3.6 per cent to the March 2024 quarter. While prices continued to rise for most goods and services, annual CPI inflation was down from 4.1 per cent last quarter and has fallen from the peak of 7.8 per cent in December 2022.”
| Change from previous quarter (%) | Annual change (%) | |
|---|---|---|
| Mar-14 | 0.6 | 2.9 |
| Jun-14 | 0.5 | 3.0 |
| Sep-14 | 0.5 | 2.3 |
| Dec-14 | 0.2 | 1.7 |
| Mar-15 | 0.2 | 1.3 |
| Jun-15 | 0.7 | 1.5 |
| Sep-15 | 0.5 | 1.5 |
| Dec-15 | 0.4 | 1.7 |
| Mar-16 | -0.2 | 1.3 |
| Jun-16 | 0.4 | 1.0 |
| Sep-16 | 0.7 | 1.3 |
| Dec-16 | 0.5 | 1.5 |
| Mar-17 | 0.5 | 2.1 |
| Jun-17 | 0.2 | 1.9 |
| Sep-17 | 0.6 | 1.8 |
| Dec-17 | 0.6 | 1.9 |
| Mar-18 | 0.4 | 1.9 |
| Jun-18 | 0.4 | 2.1 |
| Sep-18 | 0.4 | 1.9 |
| Dec-18 | 0.5 | 1.8 |
| Mar-19 | 0 | 1.3 |
| Jun-19 | 0.6 | 1.6 |
| Sep-19 | 0.5 | 1.7 |
| Dec-19 | 0.7 | 1.8 |
| Mar-20 | 0.3 | 2.2 |
| Jun-20 | -1.9 | -0.3 |
| Sep-20 | 1.6 | 0.7 |
| Dec-20 | 0.9 | 0.9 |
| Mar-21 | 0.6 | 1.1 |
| Jun-21 | 0.8 | 3.8 |
| Sep-21 | 0.8 | 3.0 |
| Dec-21 | 1.3 | 3.5 |
| Mar-22 | 2.1 | 5.1 |
| Jun-22 | 1.8 | 6.1 |
| Sep-22 | 1.8 | 7.3 |
| Dec-22 | 1.9 | 7.8 |
| Mar-23 | 1.4 | 7.0 |
| Jun-23 | 0.8 | 6.0 |
| Sep-23 | 1.2 | 5.4 |
| Dec-23 | 0.6 | 4.1 |
| Mar-24 | 1.0 | 3.6 |
The most significant contributors to the March quarter rise were Education (+5.9 per cent), Health (+2.8 per cent), Housing (+0.7 per cent), and Food and non-alcoholic beverages (+0.9 per cent).
Education fees increased with the start of the calendar year, showing the strongest quarterly rise since 2012. Tertiary education rose 6.5 per cent with annual CPI indexation being applied to tertiary education fees. Secondary education rose 6.1 per cent, followed by Preschool and primary education (+4.3 per cent) as fees were increased at the start of the school year.
Prices for Medical and hospital services (+2.3 per cent) typically rise in the March quarter as GPs and other health service providers review their consultation fees. The Medicare and Pharmaceutical Benefit Scheme Safety Net thresholds are also reset at the start of the calendar year meaning fewer people qualify for subsidised prices for out of hospital services and pharmaceuticals.
The quarterly rise in Housing was driven by Rents (+2.1 per cent) and New dwellings purchased by owner-occupiers (+1.1 per cent).
“Rental prices rose 2.1 per cent for the quarter in line with low vacancy rates across the capital cities. Rents continues to increase at their fastest rate in 15 years,” Ms Marquardt said.
Higher labour and material costs contributed to price rises this quarter for construction of new dwellings. The 1.1 per cent increase is slightly lower than the 1.5 per cent rise in the December 2023 quarter.
Food and non-alcoholic beverage prices rose this quarter, driven by Non-alcoholic beverages (+3.4 per cent), Fruit and vegetables (+2.5 per cent) and Food products not elsewhere classified (+1.9 per cent). Partially offsetting the quarterly rise was a price fall for Meat and seafood (-0.7 per cent).
“Meat and seafood prices fell this quarter as increased supply and discounting led to price drops for Beef and veal and Lamb and goat. Discounting of Fish and other seafood and Other meats also contributed to the fall,” Ms Marquardt said.
Annually, the CPI rose 3.6 per cent, with Housing (+4.9 per cent), Food and non-alcoholic beverages (+3.8 per cent), and Alcohol and tobacco (+6.3 per cent) contributing the most.
Underlying inflation measures reduce the impact of irregular or temporary price changes in the CPI. Annual trimmed mean inflation was 4.0 per cent, down from 4.2 per cent in the December quarter.
“This is the fifth quarter in a row of lower annual trimmed mean inflation, down from the peak of 6.8 per cent in the December 2022 quarter,” Ms Marquardt said.
| All groups CPI (%) | Trimmed mean (%) | |
|---|---|---|
| Mar-90 | 8.7 | 6.7 |
| Jun-90 | 7.7 | 6.7 |
| Sep-90 | 6.1 | 6.5 |
| Dec-90 | 6.9 | 6.6 |
| Mar-91 | 4.8 | 5.7 |
| Jun-91 | 3.3 | 5.0 |
| Sep-91 | 3.1 | 4.8 |
| Dec-91 | 1.5 | 3.7 |
| Mar-92 | 1.7 | 3.3 |
| Jun-92 | 1.2 | 2.8 |
| Sep-92 | 0.8 | 2.2 |
| Dec-92 | 0.3 | 2.0 |
| Mar-93 | 1.2 | 2.1 |
| Jun-93 | 1.8 | 2.2 |
| Sep-93 | 2.2 | 2.3 |
| Dec-93 | 1.8 | 2.3 |
| Mar-94 | 1.5 | 2.3 |
| Jun-94 | 1.8 | 2.3 |
| Sep-94 | 2.0 | 2.3 |
| Dec-94 | 2.6 | 2.2 |
| Mar-95 | 3.7 | 2.3 |
| Jun-95 | 4.5 | 2.5 |
| Sep-95 | 5.1 | 3.0 |
| Dec-95 | 5.1 | 3.2 |
| Mar-96 | 3.8 | 3.2 |
| Jun-96 | 3.1 | 3.0 |
| Sep-96 | 2.1 | 2.5 |
| Dec-96 | 1.5 | 2.4 |
| Mar-97 | 1.4 | 2.5 |
| Jun-97 | 0.3 | 2.1 |
| Sep-97 | -0.4 | 1.8 |
| Dec-97 | -0.3 | 1.9 |
| Mar-98 | -0.1 | 1.7 |
| Jun-98 | 0.7 | 1.9 |
| Sep-98 | 1.4 | 1.9 |
| Dec-98 | 1.5 | 1.7 |
| Mar-99 | 1.2 | 1.7 |
| Jun-99 | 1.0 | 1.7 |
| Sep-99 | 1.8 | 2.1 |
| Dec-99 | 1.9 | 2.3 |
| Mar-00 | 2.8 | 2.5 |
| Jun-00 | 3.1 | 2.6 |
| Sep-00 | 6.1 | 2.4 |
| Dec-00 | 5.8 | 2.4 |
| Mar-01 | 6.0 | 2.7 |
| Jun-01 | 6.1 | 3.0 |
| Sep-01 | 2.5 | 3.1 |
| Dec-01 | 3.1 | 3.3 |
| Mar-02 | 3.0 | 3.1 |
| Jun-02 | 2.8 | 3.0 |
| Sep-02 | 3.2 | 2.9 |
| Dec-02 | 2.9 | 2.8 |
| Mar-03 | 3.3 | 2.9 |
| Jun-03 | 2.6 | 2.8 |
| Sep-03 | 2.6 | 2.8 |
| Dec-03 | 2.4 | 2.7 |
| Mar-04 | 2.0 | 2.6 |
| Jun-04 | 2.5 | 2.6 |
| Sep-04 | 2.3 | 2.6 |
| Dec-04 | 2.5 | 2.7 |
| Mar-05 | 2.4 | 2.7 |
| Jun-05 | 2.5 | 2.7 |
| Sep-05 | 3.1 | 2.7 |
| Dec-05 | 2.8 | 2.6 |
| Mar-06 | 2.9 | 2.8 |
| Jun-06 | 4.0 | 3.0 |
| Sep-06 | 4.0 | 3.1 |
| Dec-06 | 3.3 | 3.0 |
| Mar-07 | 2.5 | 2.7 |
| Jun-07 | 2.1 | 2.8 |
| Sep-07 | 1.8 | 2.9 |
| Dec-07 | 2.9 | 3.6 |
| Mar-08 | 4.3 | 4.2 |
| Jun-08 | 4.4 | 4.4 |
| Sep-08 | 5.0 | 4.8 |
| Dec-08 | 3.7 | 4.3 |
| Mar-09 | 2.4 | 4.1 |
| Jun-09 | 1.4 | 3.6 |
| Sep-09 | 1.2 | 3.1 |
| Dec-09 | 2.1 | 3.2 |
| Mar-10 | 2.9 | 3.1 |
| Jun-10 | 3.1 | 2.8 |
| Sep-10 | 2.9 | 2.6 |
| Dec-10 | 2.8 | 2.2 |
| Mar-11 | 3.3 | 2.2 |
| Jun-11 | 3.5 | 2.7 |
| Sep-11 | 3.4 | 2.5 |
| Dec-11 | 3.0 | 2.7 |
| Mar-12 | 1.6 | 2.3 |
| Jun-12 | 1.2 | 2.0 |
| Sep-12 | 2.0 | 2.3 |
| Dec-12 | 2.2 | 2.2 |
| Mar-13 | 2.5 | 2.3 |
| Jun-13 | 2.4 | 2.4 |
| Sep-13 | 2.2 | 2.4 |
| Dec-13 | 2.7 | 2.7 |
| Mar-14 | 2.9 | 2.7 |
| Jun-14 | 3.0 | 2.8 |
| Sep-14 | 2.3 | 2.4 |
| Dec-14 | 1.7 | 2.2 |
| Mar-15 | 1.3 | 2.3 |
| Jun-15 | 1.5 | 2.2 |
| Sep-15 | 1.5 | 2.1 |
| Dec-15 | 1.7 | 2.1 |
| Mar-16 | 1.3 | 1.7 |
| Jun-16 | 1.0 | 1.6 |
| Sep-16 | 1.3 | 1.6 |
| Dec-16 | 1.5 | 1.5 |
| Mar-17 | 2.1 | 1.7 |
| Jun-17 | 1.9 | 1.7 |
| Sep-17 | 1.8 | 1.7 |
| Dec-17 | 1.9 | 1.7 |
| Mar-18 | 1.9 | 1.7 |
| Jun-18 | 2.1 | 1.7 |
| Sep-18 | 1.9 | 1.7 |
| Dec-18 | 1.8 | 1.8 |
| Mar-19 | 1.3 | 1.6 |
| Jun-19 | 1.6 | 1.5 |
| Sep-19 | 1.7 | 1.5 |
| Dec-19 | 1.8 | 1.5 |
| Mar-20 | 2.2 | 1.7 |
| Jun-20 | -0.3 | 1.3 |
| Sep-20 | 0.7 | 1.2 |
| Dec-20 | 0.9 | 1.2 |
| Mar-21 | 1.1 | 1.1 |
| Jun-21 | 3.8 | 1.6 |
| Sep-21 | 3.0 | 2.1 |
| Dec-21 | 3.5 | 2.7 |
| Mar-22 | 5.1 | 3.8 |
| Jun-22 | 6.1 | 5.0 |
| Sep-22 | 7.3 | 6.0 |
| Dec-22 | 7.8 | 6.8 |
| Mar-23 | 7.0 | 6.5 |
| Jun-23 | 6.0 | 5.8 |
| Sep-23 | 5.4 | 5.1 |
| Dec-23 | 4.1 | 4.2 |
| Mar-24 | 3.6 | 4.0 |
Today the ABS also released the monthly CPI indicator, which rose 3.5 per cent in the 12 months to March, compared to a rise of 3.4 per cent in the 12 months to February.
The most significant contributors to the rise were Housing (+5.2 per cent), Food and non-alcoholic beverages (+3.5 per cent), Alcohol and tobacco (+6.1 per cent), and Insurance and financial services (+8.2 per cent).
