Inflation rate up to 2.7 percent in September

Statistics Netherlands (CBS) reports that the consumer price index (CPI) was 2.7 percent higher in September than in the same month last year. The inflation rate stood at 2.4 percent in August. The price development of gas and electricity, among other things, contributed to the higher inflation.

Consumer price index (CPI)
YearMonthYear-on-year change (year-on-year % change)
2015January0
2015February0.2
2015March0.4
2015April0.6
2015May1.1
2015June1
2015July1
2015August0.8
2015September0.6
2015October0.6
2015November0.7
2015December0.7
2016January0.6
2016February0.6
2016March0.6
2016April0
2016May0
2016June0
2016July-0.2
2016August0.2
2016September0.1
2016October0.4
2016November0.6
2016December1
2017January1.7
2017February1.8
2017March1.1
2017April1.6
2017May1.1
2017June1.1
2017July1.3
2017August1.4
2017September1.5
2017October1.3
2017November1.5
2017December1.3
2018January1.5
2018February1.2
2018March1
2018April1.1
2018May1.7
2018June1.7
2018July2.1
2018August2.1
2018September1.9
2018October2.1
2018November2
2018December2
2019January2.2
2019February2.6
2019March2.8
2019April2.9
2019May2.4
2019June2.7
2019July2.5
2019August2.8
2019September2.6
2019October2.7
2019November2.6
2019December2.7
2020January1.8
2020February1.6
2020March1.4
2020April1.2
2020May1.2
2020June1.6
2020July1.7
2020August0.7
2020September1.1
2020October1.2
2020November0.8
2020December1
2021January1.6
2021February1.8
2021March1.9
2021April1.9
2021May2.1
2021June2
2021July1.4
2021August2.4
2021September2.7

Higher energy bill

More expensive energy (electricity, gas and other fuels) caused inflation to rise in September. Energy was 19.4 percent more expensive in September than one year previously. In August, the year-on-year price increase was 13.7 percent. In addition to gas and electricity, the price development of motor fuels also had an upward effect on inflation.

Price index electricity, gas and other fuels
Month2021 (2015=100)2020 (2015=100)
January104.43109.03
February106.13108.4
March107.18107.19
April107.97105.85
May108.22105.13
June109.99104.68
July115.79102.81
August117.17103.05
September123.29103.27

Discount on tuition fees depresses inflation

Students paid less for education in September than one year previously. This has a downward effect on inflation. For a study programme in the academic year 2021-2022 at adult general secondary education (VAVO), secondary vocational education (MBO), higher professional education (HBO) or university, students receive a 50 percent discount on course or tuition fees. This discount is a government measure in connection with the coronavirus crisis.

CPI: Major contributions to year-on-year change
 September (percentage point)August (percentage point)
All items2.72.4
Housing, water and
energy
0.970.75
Transport0.910.63
Miscellaneous goods
and services
0.260.27
Restaurants and hotels0.190.12
Furnishing and household
equipment
0.190.2
Recreation and culture0.180.06
Consumption abroad0.160.13
Education-0.30.02

Increase HICP in the euro area 3.4 percent

Aside from the consumer price index (CPI), CBS also calculates the European harmonised consumer price index (HICP). According to the European HICP, consumer goods and services in the Netherlands were 3.0 percent more expensive in September than in the same month last year, up from 2.7 percent in August. Inflation in the euro area rose from 3.0 to 3.4 percent, the highest inflation rate since October 2008.

Harmonised Index of Consumer Prices (HICP)
yearmonthThe Netherlands (year-on-year % change)Euro area (year-on-year % change)
2015January-0.7-0.6
2015February-0.5-0.3
2015March-0.3-0.1
2015April00.2
2015May0.70.6
2015June0.50.5
2015July0.80.5
2015August0.40.4
2015September0.30.2
2015October0.40.4
2015November0.40.1
2015December0.50.3
2016January0.20.3
2016February0.3-0.1
2016March0.50
2016April-0.2-0.3
2016May-0.2-0.1
2016June-0.20
2016July-0.60.2
2016August0.10.2
2016September-0.10.4
2016October0.30.5
2016November0.40.6
2016December0.71.1
2017January1.61.7
2017February1.72
2017March0.61.5
2017April1.41.9
2017May0.71.4
2017June11.3
2017July1.51.3
2017August1.51.5
2017September1.41.6
2017October1.31.4
2017November1.51.5
2017December1.21.3
2018January1.51.3
2018February1.31.1
2018March11.4
2018April11.2
2018May1.92
2018June1.72
2018July1.92.2
2018August1.92.1
2018September1.62.1
2018October1.92.3
2018November1.81.9
2018December1.81.5
2019January21.4
2019February2.61.5
2019March2.91.4
2019April31.7
2019May2.31.2
2019June2.71.3
2019July2.61
2019August3.11
2019September2.70.8
2019October2.80.7
2019November2.61
2019December2.81.3
2020January1.71.4
2020February1.31.2
2020March1.10.7
2020April10.3
2020May1.10.1
2020June1.70.3
2020July1.60.4
2020August0.3-0.2
2020September1-0.3
2020October1.2-0.3
2020November0.7-0.3
2020December0.9-0.3
2021January1.60.9
2021February1.90.9
2021March1.91.3
2021April1.71.6
2021May22
2021June1.71.9
2021July1.42.2
2021August2.73
2021September33.4

The HICP is compiled according to the European harmonised method to facilitate comparison across EU member states. Price indices for the euro area and the European Union as a whole are calculated based on the HICPs of the individual member states. The European Central Bank (ECB) uses these figures to formulate its monetary policy.

The main conceptual difference between the CPI and the HICP for the Netherlands is that, unlike the CPI, the HICP does not take into account the costs of homeownership. In the Dutch CPI, these costs are calculated based on developments in rental property prices.

Implications of the coronavirus crisis for consumer price measurements

Due to the government's COVID-19 countermeasures, some services have been either limited or unavailable since April 2020, such as intercontinental flights in September. As a result, there were no transactions for these services that allowed for price measurements. In accordance with the Eurostat guidelines, CBS opted for the most appropriate estimation method in each situation.

The coronavirus pandemic has significantly changed consumers’ spending patterns. The change in consumption patterns will affect inflation in 2021.