New Zealand's consumers price index (CPI) increased 2.2 percent in the December 2024 quarter, compared with the December 2023 quarter, according to figures released by Stats NZ today.
The 2.2 percent annual increase follows a 2.2 percent annual increase in the September 2024 quarter.
"This is the second consecutive quarter that the annual inflation rate has been within the Reserve Bank of New Zealand's target band of 1 to 3 percent," prices and deflators spokesperson Nicola Growden said.
Between the June 2021 and June 2024 quarters annual inflation was above the target band.
"Prices are still rising, but not as much as previously recorded. The most recent peak was in the June 2022 quarter when the annual inflation rate reached 7.3 percent," Growden said.
| Period ended | Percentage change |
| Dec-04 | 2.7 |
| Mar-05 | 2.8 |
| Jun-05 | 2.8 |
| Sep-05 | 3.4 |
| Dec-05 | 3.2 |
| Mar-06 | 3.3 |
| Jun-06 | 4 |
| Sep-06 | 3.5 |
| Dec-06 | 2.6 |
| Mar-07 | 2.5 |
| Jun-07 | 2 |
| Sep-07 | 1.8 |
| Dec-07 | 3.2 |
| Mar-08 | 3.4 |
| Jun-08 | 4 |
| Sep-08 | 5.1 |
| Dec-08 | 3.4 |
| Mar-09 | 3 |
| Jun-09 | 1.9 |
| Sep-09 | 1.7 |
| Dec-09 | 2 |
| Mar-10 | 2 |
| Jun-10 | 1.7 |
| Sep-10 | 1.5 |
| Dec-10 | 4 |
| Mar-11 | 4.5 |
| Jun-11 | 5.3 |
| Sep-11 | 4.6 |
| Dec-11 | 1.8 |
| Mar-12 | 1.6 |
| Jun-12 | 1 |
| Sep-12 | 0.8 |
| Dec-12 | 0.9 |
| Mar-13 | 0.9 |
| Jun-13 | 0.7 |
| Sep-13 | 1.4 |
| Dec-13 | 1.6 |
| Mar-14 | 1.5 |
| Jun-14 | 1.6 |
| Sep-14 | 1 |
| Dec-14 | 0.8 |
| Mar-15 | 0.3 |
| Jun-15 | 0.4 |
| Sep-15 | 0.4 |
| Dec-15 | 0.1 |
| Mar-16 | 0.4 |
| Jun-16 | 0.4 |
| Sep-16 | 0.4 |
| Dec-16 | 1.3 |
| Mar-17 | 2.2 |
| Jun-17 | 1.7 |
| Sep-17 | 1.9 |
| Dec-17 | 1.6 |
| Mar-18 | 1.1 |
| Jun-18 | 1.5 |
| Sep-18 | 1.9 |
| Dec-18 | 1.9 |
| Mar-19 | 1.5 |
| Jun-19 | 1.7 |
| Sep-19 | 1.5 |
| Dec-19 | 1.9 |
| Mar-20 | 2.5 |
| Jun-20 | 1.5 |
| Sep-20 | 1.4 |
| Dec-20 | 1.4 |
| Mar-21 | 1.5 |
| Jun-21 | 3.3 |
| Sep-21 | 4.9 |
| Dec-21 | 5.9 |
| Mar-22 | 6.9 |
| Jun-22 | 7.3 |
| Sep-22 | 7.2 |
| Dec-22 | 7.2 |
| Mar-23 | 6.7 |
| Jun-23 | 6 |
| Sep-23 | 5.6 |
| Dec-23 | 4.7 |
| Mar-24 | 4 |
| Jun-24 | 3.3 |
| Sep-24 | 2.2 |
| Dec-24 | 2.2 |
The largest contributor to the annual inflation rate was rent, up 4.2 percent. Almost a fifth of the 2.2 percent annual increase in the CPI was due to rent prices.
"Annual rent inflation continues to grow at a consistent rate. Between the December 2023 and 2024 quarters, annual rent inflation ranged between 4.2 percent and 4.8 percent," Growden said.
Local authority rates and payments increased 12.2 percent in the 12 months to the December 2024 quarter (16 percent contribution to the 2.2 percent increase).
Cigarettes and tobacco prices also increased, up 7.6 percent in the 12 months to the December 2024 quarter (11 percent contribution to the 2.2 percent increase). This increase was mainly due to the annual tobacco excise tax increase on 1 January 2024.
Lower petrol prices, down 9.2 percent, helped offset rising prices. This included removal of the Auckland regional fuel tax of 10 cents per litre plus GST on 30 June 2024.
"Petrol makes up about 4 percent of the CPI basket. Its price fall made a significant contribution to the slower increase in the annual inflation rate in December 2024," Growden said.
Between the December 2023 and December 2024 quarters, the weighted average price of 1 litre of 91 octane petrol fell 26 cents from $2.81 to $2.55.
"If petrol was excluded, the CPI would have increased 2.7 percent in the 12 months to December 2024."
| Period ended | Petrol |
| Dec-14 | -4 |
| Mar-15 | -15 |
| Jun-15 | -7.4 |
| Sep-15 | -6.8 |
| Dec-15 | -8.1 |
| Mar-16 | -5.1 |
| Jun-16 | -8.1 |
| Sep-16 | -11.1 |
| Dec-16 | -0.5 |
| Mar-17 | 12.2 |
| Jun-17 | 4.5 |
| Sep-17 | 4.5 |
| Dec-17 | 6.5 |
| Mar-18 | 5 |
| Jun-18 | 10.5 |
| Sep-18 | 18.6 |
| Dec-18 | 11.1 |
| Mar-19 | 0.7 |
| Jun-19 | 3.3 |
| Sep-19 | -2.9 |
| Dec-19 | -0.8 |
| Mar-20 | 4.2 |
| Jun-20 | -13.5 |
| Sep-20 | -11.3 |
| Dec-20 | -12.4 |
| Mar-21 | -3.8 |
| Jun-21 | 16.1 |
| Sep-21 | 21.5 |
| Dec-21 | 30.5 |
| Mar-22 | 32.3 |
| Jun-22 | 32.5 |
| Sep-22 | 18.8 |
| Dec-22 | 2.4 |
| Mar-23 | -8.3 |
| Jun-23 | -15 |
| Sep-23 | 3.7 |
| Dec-23 | 11.7 |
| Mar-24 | 12.1 |
| Jun-24 | 14.7 |
| Sep-24 | -8 |
| Dec-24 | -9.2 |
Also offsetting the annual CPI increase were lower prices for vegetables, down 14.6 percent. Falling prices for kūmara, potatoes, and onions contributed to this movement.
Quarterly inflation at 0.5 percent
The CPI rose 0.5 percent in the December 2024 quarter, compared with the September 2024 quarter.
| Period ended | CPI all groups (quarterly) |
| Dec-20 | 0.5 |
| Mar-21 | 0.8 |
| Jun-21 | 1.3 |
| Sep-21 | 2.2 |
| Dec-21 | 1.4 |
| Mar-22 | 1.8 |
| Jun-22 | 1.7 |
| Sep-22 | 2.2 |
| Dec-22 | 1.4 |
| Mar-23 | 1.2 |
| Jun-23 | 1.1 |
| Sep-23 | 1.8 |
| Dec-23 | 0.5 |
| Mar-24 | 0.6 |
| Jun-24 | 0.4 |
| Sep-24 | 0.6 |
| Dec-24 | 0.5 |
Prices for international air transport, up 6.6 percent, were the largest contributor to the quarterly rise. Almost a quarter of the 0.5 percent quarterly rise in the CPI was due to international air transport.
Other significant contributors to CPI this quarter were:
- second-hand cars - up 4.7 percent (19 percent contribution to the 0.5 percent rise)
- rent - up 0.8 percent (15 percent contribution)
- games, toys, and hobbies - up 8.5 percent (13 percent contribution)
- domestic air transport - up 9.3 percent (12 percent contribution)
- overseas accommodation - up 2.4 percent (11 percent contribution).
Lower prices for vegetables, down 11.5 percent, helped offset the quarterly rise.
"Seasonal falls for salad veggies like tomatoes, cucumbers, and capsicums contributed to the quarterly fall in vegetable prices," Growden said.
