Energy prices drive up inflation in August

Ireland’s inflation rate rose in August, driven largely by energy prices. The EU Harmonised Index of Consumer Prices (HICP) increased to 3.4% in the 12 months to August, up from 3.1% in July, with prices rising 0.6% during the month. Ireland’s HICP inflation remains higher than the eurozone average of 2.9%. The CSO data attribute the jump to a 4.3% month-on-month rise in energy prices and an 11.8% increase over the past year. Food prices fell 0.2% in the month and edged up 0.1% year-on-year. Services were unchanged month-to-month but up 3.7% year-on-year. Eurostat will publish flash eurozone figures on Tuesday, 1 September.