Consumer price index of January 2022
- Inflation increases from 5.71% to 7.59% in January, which is the highest level since August 1983, when it was 7.90%.
- The consumer price index increased by 2.58 points or 2.23% over the month. This is the most significant monthly change since March 1951 (2.93%).
- Inflation based on the health index goes from 5.21% to 7.12%.
- The smoothed health index amounts to 113.42 points in January.
- The high inflation this month is due, as in recent months, to the high energy prices. Energy currently has an inflation rate of 60.86% and contributes 4.97 percentage points to the total inflation.
- Core inflation, which does not take into account price evolutions of energy products and unprocessed food, stood at 2.98% in January, compared to 2.53% in December.
- The most significant price increases in January were registered for electricity, natural gas, bread and cereals, motor fuels, health insurance, non-alcoholic beverages, the purchase of vehicles, domestic heating oil, sewage collection, dairy products, meat, non-durable household goods, hotel rooms and fire insurance. However, airplane tickets have had a decreasing effect on the index.
Inflation now amounts to 7.59% compared to 5.71% last month and 5.64% in November. Inflation based on the health index amounted to 7.12% this month compared to 5.21% in December and 4.81% in November. Inflation without energy has gone up to 2.85% in January compared to 2.35% last month and 1.88% in November. Core inflation, which does not take into account price evolutions of energy products and unprocessed food, amounts to 2.98% in January, compared to 2.53% in December and 2.14% in November.
Inflation for food products (including alcoholic beverages) stands at 2.28% this month, compared to 1.21% last month. Inflation for services has risen to 3.35% from 2.82%. Inflation for rents has decreased from 2.27% to 2.15%.
The sharp increase in inflation in recent months is due to energy products. Energy inflation is now running at 60.86%, compared to 41.98% in December and 46.40% in November. Electricity is now 70.8% more expensive than a year ago. Natural gas is 153.7% more expensive on an annual basis. Prices for domestic heating oil, calculated based on a smoothed 12-month moving average, have increased by 47.1% in one year. Motor fuels are 25.4% more expensive than last year.
The increase in inflation is due to the high energy prices. Energy currently has an inflation rate of 60.86% and contributes 4.97 percentage points to the total inflation.
The price of natural gas has increased by 34.9% on average compared to the previous month. The price for electricity has increased by 20.5% on average.
Some products and services that rose sharply in price compared to January last year are:
|Domestic heating oil||47.1%|
|Other fuels (LPG)||40.7%|
|Liquefied petroleum gas (propane)||20.6%|
|Second-hand motor cars||16.6%|
Some products and services that fell sharply in price compared to January last year are:
|Recording media (a.o. memory card)||-7.4%|
|Other information processing equipment (e.g. smart watch)||-7.2%|
|Toys and gaming||-3.0%|
The main group with the upward effect[i] on inflation in January was ‘Housing, water, energy’ with an effect on inflation of 3.90 percentage points. The largest downward effect was measured for ‘Food and non-alcoholic beverages’ with -1.14 percentage points.
The main group with the largest contribution[ii] to inflation is ‘Housing, water and energy’ with 4.52 percentage points. The lowest contribution to inflation was registered by the main group ‘Communication’, with 0.00 percentage point.
Explanation of index levels
The consumer price index has risen by 2.58 points or 2.23% in January 2022 and is now running at 118.32 points, compared to 115.74 points in December 2021 (2013=100). The health index has gained 2.61 points to 118.21 points in January, compared to 115.60 points in December. The smoothed health index amounts to 113.42 points in January. The next central index for public service and social benefits is set at 113.76 points.
Products with the largest increasing effect in January were electricity, natural gas, bread and cereals, motor fuels, health insurance, non-alcoholic beverages, the purchase of vehicles, domestic heating oil, sewage collection, dairy products, meat, non-durable household goods, hotel rooms and fire insurance. However, airplane tickets have had a decreasing effect on the index. The most important trends this month are:
|Electricity||+0.795 points||Airplane tickets||-0.060 points|
|Natural gas||+0.690 points|
|Bread and cereals||+0.150 points|
|Motor fuels||+0.145 points|
|Health insurance||+0.095 points|
|Non-alcoholic beverages||+0.085 points|
|Purchase of vehicles||+0.075 points|
|Domestic heating oil||+0.070 points|
|Sewage collection||+0.065 points|
|Dairy products||+0.060 points|
|Non-durable household goods||+0.055 points|
|Hotel rooms||+0.050 points|
|Fire insurance||+0.050 points|
Prices for electricity and natural gas have increased this month on average by 20.5% and 34.9% respectively. Prices for bread and cereals have gone up by 4.5% this month. Motor fuels became on average 3.6% more expensive. Prices for health insurance have increased on average by 6.6%. Non-alcoholic beverages were on average 4.4% more expensive this month. The purchase of vehicles became on average 1.0% more expensive. Domestic heating oil smoothed prices have gone up by 5.4% on average this month. Sewage collection has become on average 9.8% more expensive. Dairy products have gone up by 2.6% on average this month. Meat has become on average 1.3% more expensive. Prices for non-durable household goods have increased on average by 5.2% this month. Hotel rooms have become on average 7.2% more expensive. Prices of fire insurance have gone up on average by 3.2% this month.
Airplane tickets have become on average 9.0% less expensive this month.
|2013 = 100||October||November||December||January|
|Consumer price index||114.20||115.63||115.74||118.32|
|Smoothed health index*||110.53||111.27||111.97||113.42|
|* defined in the law of 23 April 2015 on the promotion of employment (Belgian Official Journal of 27 April 2015)|
[i] The effect on inflation shows the changes on the inflation rate by including this product group in the CPI calculation. The effect not only takes the weight of the product group into account, but it also takes into account whether the product group inflation is higher or lower than that of the total expenditure (overall HICP).
[ii] The contribution to inflation of a specific product group shows how much of the change in the total expenditure is due to the price variation of this product group.