Inflation dropped to 7.6 percent in January

The pace at which prices are rising in the Netherlands decreased again in January compared to a month earlier. Inflation fell to 7.6 percent last month, Statistics Netherlands (CBS) reported in a first estimate. In December, consumer goods and services were still 9.6 percent more expensive than twelve months earlier. At its peak in September, inflation was 14.5 percent.

Life has become rapidly more expensive since Russia invaded Ukraine in February last year. But over the past few months, prices have risen a bit less sharply. January is the fourth consecutive month in which inflation has decreased compared to the month before. That is entirely due to gas, electricity, and petrol prices. They spiked last year but have recently shown a decrease. Energy is still considerably more expensive than a year ago.

The decrease in inflation is not yet visible in the supermarket. The pace at which food, beverage, and tobacco prices rose was slightly higher in January than in December. Prices for these products increased 14.5 percent on average last month, compared to 14 percent in December. Prices of industrial goods, on the other hand, rose less rapidly.

In order to make a good comparison with other European countries, CBS also provided inflation figures calculated according to the European harmonized method, which does not take housing rents into account, among other things. According to that method, inflation was 8.4 percent in January, compared to 11 percent in December.

CBS stressed that this was a quick, initial estimate based on incomplete data. The stats office will release the final figures later this month.