The inflation rate has risen to 7.3 per cent over the 12 months to September, the highest yearly consumer inflation since 1990.
The Consumer Price Index rose 1.8 per cent over the past quarter, matching that of the previous quarter, and lower than the 2.1 per cent leap in the March quarter.
“All three results exceed any other quarterly results since the introduction of the Goods and Services Tax (GST), and underlie the highest annual increase in the CPI since 1990,” Program Manager of Prices at the ABS, Michelle Marquardt, said.
Prices for food and non-alcoholic beverages have raced ahead of these figures, rising by 9 per cent over the past year.
Fruit and vegetables prices rose 16.2 per cent and dairy products increased 12.1 per cent in the 12 months to the end of September.
The annual increase of 9.6 per cent in the price of goods was the highest since 1983, as opposed to services, which grew a more modest 4.1 per cent.
The price of non-discretionary goods and services rose 8.4 per cent, while that of discretionary goods and services rose 5.5 per cent.
“These increases reflected a range of price pressures including supply chain disruptions, weather-related events such as flooding, and increased transport and input costs,” according to the ABS.
The most significant contributors to the rise in the September quarter were new dwellings (+3.7 per cent), gas (+10.9 per cent) and furniture (+6.6 per cent).
“Labour shortages in the house construction industry, leading to rises in labour costs, contributed to the rise in new dwellings this quarter,” Marquardt explained.
“The continuation of material shortages added further price pressure. However, the rate of price growth in new dwellings eased relative to recent quarters (+5.6 per cent and +5.7 per cent in June and March quarters), reflecting a softening in new demand and some easing in supply constraints.”
Annually, new dwellings (+20.7 per cent) and automotive fuel (+18.0 per cent) were the most significant contributors.
