The cost of living for the average Kiwi household has increased by 3.8% in the 12 months to the September 2024 quarter, according to figures released by Stats NZ today, with interest payments and insurance the largest contributor.
Measured by the household living-costs price indexes (HLPIs), the 3.8% increase follows a 5.4% increase in the 12 months to the June 2024 quarter. The most recent high was 8.2% recorded in the 12 months to the December 2022 quarter.
It comes as inflation, measured by the consumer price index (CPI) was 2.2% in the 12 months to the September 2024 quarter.
The HLPIs are measured each quarter, with studies looking at how inflation affects 13 different household groups, plus an all-households group, also referred to as the average household.
CPI measures how inflation affects the country as a whole.
Stats NZ consumer prices manager Nicola Growden said mortgage interest payments “remain high and continue to contribute significantly to living costs for many households”.
For the average household, the largest contributors to the increase were interest payments, which increased 18.2%, insurance (increased 16.4%) and rent (4.8%).
The cost of living for the highest spending households
The cost of living for the highest-spending households increased 3.7%,
This followed a 5.6% increase in the 12 months to the June 2024 quarter.
The largest contributors to the increase were:
- Interest payments increased 18.3%.
- Insurance increased 15.2%.
- Property rates and related services increased 11.6%.
The cost of living for the lowest spending households
Meanwhile, the cost of living for the lowest-spending households increase by 4.3%, following a 5% increase in the 12 months to the June 2024 quarter.
The largest contributors to the increase were:
- Property rates and related services increased 12.2%.
- Rent increased 4.9%.
- Insurance increased 17.9%.
Māori households’ cost of living
The cost of living for Māori households increased 3.9%. This followed a 5.5% increased in the 12 months to the June 2024 quarter.
The largest contributors were:
- Interest payments increased 18.1%
- Rent increased 4.7%
- Cigarettes and tobacco increased 10.3%
Cost of living for beneficiary households
The cost of living for beneficiary households increased 3.8% – this followed a 4.5 percent increase in the 12 months to the June 2024 quarter.
The largest contributors were:
- Rent increased 4.8 percent
- Cigarettes and tobacco increased 10.0 percent
- Interest payments increased 17.4 percent.