Video transcript
[Visual: the inside of an office building]
Prices are something we all notice, whether it’s the weekly food shop, filling up the car, or paying power bills.
When prices go up, it affects the bank balance fast. That’s where the Consumer’s Price Index, or CPI, comes in.
Think of the CPI as a simple way to track how prices change for the average New Zealand household.
It covers a mix of everyday costs like groceries, rent, and even headphones, to bigger expenses like housing and medical care.
When you hear people talking about inflation, they’re usually talking about changes in CPI.
Its fluctuations show what prices are rising, staying the same, or coming down.
The CPI matters because it helps inform big decisions like interest rates, benefit payments, and wider economic policies.
It’s one of the key ways households, government, and businesses understand what’s happening in the economy so they can make decisions.
Right now, New Zealand’s CPI is measured every three months, but a lot can change in that time.
From 2027, New Zealand will move to a monthly CPI reporting, giving more up-to-date information more frequently.
To make this possible Stats NZ is changing how price data is collected:
- using data directly from retailers,
- collecting prices from websites,
- and working more closely with businesses.
A monthly CPI gives us a clearer, more frequent picture of inflation, helping all of us better understand what’s happening with prices across New Zealand.
