Inflation has picked up again, at a record 18 percent

Consumer prices in the Czech Republic continue to rise. In September, the annual inflation rate was 18 percent, 0.8 percentage points higher than in August. Month on month, inflation was 0.8 percent higher.

The Czech Statistical Office (CSO) published the data on Tuesday. Energy prices are the main contributor to the rise in prices.

In August, the price growth pace slowed for the first time in 13 months, with year-on-year inflation falling to 17.2 percent from 17.5 percent in July. But inflation has now picked up again.

“Annual price growth accelerated again in September and reached 18 percent. The biggest contributors to this acceleration were items in the housing section, especially energy and fuel prices, which were up almost 50 percent year-on-year,” said Pavla Šedivá, head of the consumer price statistics department at the CZSO.

The year-on-year price growth accelerated mainly in the housing section. Electricity increased by 37.8%, natural gas by 85.9%, and solid fuels by 55.8%.

Prices for housing rent increased by 5.2% year on year, as did water (by 5.3%), sewerage (by 6.4%), and heat and hot water (by 21.1%).

Among food and non-alcoholic beverages, flour (61 percent), long-life semi-skimmed milk (50.1 percent), butter (50.5 percent), poultry meat (36.7 percent), or sugar (33.8 percent) became significantly more expensive year-on-year.

Consumer prices increased 0.8 percent month on month in September, up from 0.2 percent in August. Gas increased 15.2 percent month on month, electricity increased 3.6 percent, solid fuels increased 6.9 percent, and heat and hot water increased 0.8 percent.

“Prices in the education section have increased by 6.4 percent to coincide with the start of the new school year. Kindergarten fees increased by 5.7 percent; fees at private high schools and private secondary schools by 6.7 percent; fees at language schools by 9.2 percent; and fees at daycare centers by 8.7 percent,” the CSO said.

In contrast, prices fell month-on-month in the recreation and culture sections. At the end of the summer season, prices for full-service holidays were 20.5 percent lower, while transport, fuel, and oil were four percent cheaper.