According to recent data from the Central Statistics Office (CSO), Ireland saw a modest decrease in inflation, dropping to 2.9% in the 12 months leading up to March 2024, down from 3.4% in February. This marks the fifth consecutive month that inflation has stayed below 5%.
However, while overall inflation has eased, the prices of essential goods and services continue to rise substantially. Daily necessities such as electricity and gas remain significantly more expensive, with costs soaring by 80-90% compared to pre-inflation levels. Food items have also seen notable price hikes, climbing by 25-30%.
Despite these challenges, certain sectors experienced sharper increases. Recreation and Culture saw prices surge by 8.3%, while spending on restaurants and hotels rose by 5.5%. Notably, the cost of package holidays skyrocketed by a staggering 40%.
Moreover, recent spikes in fuel prices, coupled with the reinstatement of excise duty, have added further strain on consumers’ wallets.
While the slight dip in inflation may offer some relief, the lag between this decrease and its tangible impact on household budgets underscores the ongoing struggle for many Irish citizens.