The Consumer Price Index (CPI) rose 1.0 per cent in the June 2024 quarter and 3.8 per cent annually, according to the latest data from the Australian Bureau of Statistics (ABS).
Michelle Marquardt, ABS head of prices statistics, said: "The June quarter rise is the same as the 1.0 per cent rise in the March 2024 quarter.
"The annual rise of 3.8 per cent for the June quarter is up from 3.6 per cent in the March quarter. This is the first increase in annual CPI inflation since the December 2022 quarter."
| Change from previous quarter (%) | Annual change (%) | |
|---|---|---|
| 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 |
| Jun-24 | 1.0 | 3.8 |
The most significant contributors to the June quarter rise were Housing (+1.1 per cent) and Food and non-alcoholic beverages (+1.2 per cent).
The quarterly growth in Housing was driven by Rents (+2.0 per cent) and New dwellings purchased by owner-occupiers (+1.1 per cent).
"The continuing tight rental market and low vacancy rates caused rental prices to go up 2.0 per cent for the quarter, following a 2.1 per cent rise in the March 2024 quarter," Ms Marquardt said.
Higher labour and material costs drove the 1.1 per cent rise this quarter for construction of new dwellings. The increase follows a 1.1 per cent rise in the previous quarter.
The rise in Food and non-alcoholic beverage prices was driven by Fruit and vegetables (+6.3 per cent), Meals out and take away food (+0.6 per cent), and Meat and seafood (+1.3 per cent).
"Fruit and vegetable prices rose this quarter as unfavourable growing conditions drove higher prices for grapes, strawberries, blueberries, tomatoes and capsicums. This was the highest quarterly rise for Fruit and vegetables since 2016," Ms Marquardt said.
Annually, the CPI rose 3.8 per cent, with slightly higher annual inflation for both goods and services than in the March 2024 quarter.
"Prices rose for goods such as tobacco, new dwellings, automotive fuel and fruit. Annual services inflation continued to be impacted by higher prices for rents and insurance," Ms Marquardt said.
| Goods (%) | Services (%) | |
|---|---|---|
| Jun-14 | 2.9 | 3.3 |
| Sep-14 | 1.9 | 2.8 |
| Dec-14 | 1.0 | 2.7 |
| Mar-15 | 0 | 3.1 |
| Jun-15 | 0.7 | 2.7 |
| Sep-15 | 0.6 | 2.7 |
| Dec-15 | 1.2 | 2.4 |
| Mar-16 | 0.9 | 1.9 |
| Jun-16 | 0.3 | 2.0 |
| Sep-16 | 1.0 | 1.8 |
| Dec-16 | 1.3 | 1.7 |
| Mar-17 | 2.5 | 1.6 |
| Jun-17 | 2.0 | 1.8 |
| Sep-17 | 1.8 | 1.8 |
| Dec-17 | 2.2 | 1.7 |
| Mar-18 | 2.0 | 2.0 |
| Jun-18 | 2.3 | 1.8 |
| Sep-18 | 2.2 | 1.6 |
| Dec-18 | 1.7 | 1.7 |
| Mar-19 | 1.3 | 1.3 |
| Jun-19 | 1.5 | 1.4 |
| Sep-19 | 1.5 | 1.8 |
| Dec-19 | 1.9 | 1.8 |
| Mar-20 | 2.7 | 1.8 |
| Jun-20 | 1.3 | -2.2 |
| Sep-20 | 1.8 | -0.6 |
| Dec-20 | 1.1 | 0.8 |
| Mar-21 | 1.1 | 1.1 |
| Jun-21 | 2.8 | 5.1 |
| Sep-21 | 2.8 | 3.5 |
| Dec-21 | 4.3 | 2.3 |
| Mar-22 | 6.6 | 3.0 |
| Jun-22 | 8.4 | 3.3 |
| Sep-22 | 9.6 | 4.1 |
| Dec-22 | 9.5 | 5.5 |
| Mar-23 | 7.6 | 6.1 |
| Jun-23 | 5.8 | 6.3 |
| Sep-23 | 4.9 | 5.8 |
| Dec-23 | 3.8 | 4.6 |
| Mar-24 | 3.1 | 4.3 |
| Jun-24 | 3.2 | 4.5 |
- End of free child care
- Free child care
The main contributors to the annual increase were Housing (+5.2 per cent), Food and non-alcoholic beverages (+3.3 per cent), and Transport (+4.6 per cent).
The annual rise in Housing was driven by Rents (+7.3 per cent) and New dwellings purchased by owner-occupiers (+5.1 per cent).
Rental price inflation (+7.3 per cent) eased annually, after a 7.8 per cent increase in the year to the March 2024 quarter, but remains elevated reflecting a tight rental market. New dwelling price inflation (+5.1 per cent) was steady this quarter. This continues the trend of price rises for new dwelling construction of around 5.0 per cent annually since the September 2023 quarter.
Electricity prices were 6.0 per cent higher compared to 12 months ago, up from 2.0 per cent in the year to the March 2024 quarter. Out-of-pocket costs for electricity rose with Energy Bill Relief Fund rebates gradually being used up by some households.
"Most eligible households continued to receive the Energy Bill Relief Fund rebate in the June quarter. Excluding the rebates, electricity prices would have increased by 14.6 per cent annually," Ms Marquardt said.
Food and non-alcoholic beverages annual price increases eased across most sub-groups. However, Fruit prices were 4.7 per cent higher compared to 12 months ago due to unfavourable growing conditions, up from -4.9 per cent in the year to the March 2024 quarter.
| Jun-23 (%) | Sep-23 (%) | Dec-23 (%) | Mar-24 (%) | Jun-24 (%) | |
|---|---|---|---|---|---|
| Food and non-alcoholic beverages | 7.5 | 4.8 | 4.5 | 3.8 | 3.3 |
| Bread and cereal products | 11.6 | 9.7 | 8.2 | 7.2 | 3.9 |
| Meat and seafoods | 3.5 | 2.2 | 0 | -1.6 | -0.4 |
| Dairy and related products | 15.2 | 10.2 | 6.4 | 4.1 | 2.3 |
| Fruit and vegetables | 1.6 | -6.4 | -0.2 | -0.2 | 3.7 |
| Food products n.e.c | 11.3 | 7.4 | 6.5 | 5.2 | 4 |
| Non alcoholic beverages | 8.6 | 5.5 | 5.3 | 5.4 | 4.2 |
Automotive fuel prices rose 7.7 per cent annually, up from 5.2 per cent in the year to the March quarter, reflecting higher prices for unleaded and premium fuels.
Underlying inflation measures reduce the impact of irregular or temporary price changes in the CPI. Annual trimmed mean inflation was 3.9 per cent, down from 4.0 per cent in the March quarter.
"This is the sixth 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 (%) | |
|---|---|---|
| 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 | 2.6 |
| Mar-22 | 5.1 | 3.8 |
| Jun-22 | 6.1 | 4.9 |
| 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 | 4.1 |
| Mar-24 | 3.6 | 4.0 |
| Jun-24 | 3.8 | 3.9 |
Today the ABS also released the monthly CPI indicator, which rose 3.8 per cent in the 12 months to June, down from a rise of 4.0 per cent in the 12 months to May.
The most significant contributors to the rise were Housing (+5.5 per cent), Food and non-alcoholic beverages (+3.3 per cent), Alcohol and tobacco (+6.9 per cent), and Transport (+4.2 per cent).
