Inflation static at 2.7%

The annual rate of inflation to the end of June has remained static at 2.7% according to the CSO.

Prices actually fell by 0.1% but this was offset by higher interest rates on borrowing.

The national consumer agency yesterday announced that food inflation is running at 5% as the big grocery retailers seem to be more content price matching their competitors than offering real value to their customers. This has hit people hard as grocery shopping is the second largest outgoing for Irish families outside of mortgage payments.

The results may differ next month as experts agree that the ESB and Airtricity will follow Bord Gais and announce increase energy prices in the coming weeks.

FS