''Politically-sensitive'' costs of rents and health insurance rise
The politically sensitive costs of rents, mortgage interest costs, and health insurance have risen faster than the prices of many other goods and services, official figures show.
The Consumer Price Index rose by 1.3% last month from December 2018, showing that inflation pressures remain subdued across the economy, according to the CSO figures.
But the costs of housing and some types of insurance rose at a much faster pace.
The costs of private landlord and local authority rents rose 4.3% and 5.6%, respectively last month from December 2018, the CSO figures show.
And other housing costs, including the costs of mortgage interest, also rose sharply, by 3.3%.
The figures also show that the cost of health insurance climbed 6.3% in the year.
Car insurance costs, which fell 6.6% in December from a year earlier, are unlikely to stop criticism of the industry, said economist Alan McQuaid.
The costs of most services, and not goods, have risen steeply, and should be a reminder of the focus that the IMF over the years had put on the elevated prices charged by service providers in Ireland, he said.
“The politically sensitive issues of costs for consumers and business are likely to come up on the doorsteps during the election campaign,” Mr McQuaid said.
“There are a lot of issues for the insurance industry to tackle,” he said.
The CSO also published annual 2019 figures which showed an annual average inflation rate of 0.9%, up from 0.5% in 2018.
The figures showed the costs of housing, water, electricity, gas, and other fuels; restaurants and hotels; transport; and alcohol and tobacco increased in the year.
However, the prices of communications; furnishings, household equipment and routine household maintenance, food and non-alcoholic beverages, and clothing and footwear fell in the year.
