Inflation rises to 3.1 percent in March

Inflation higher due to energy price developments

The rise in inflation was mainly due to changes in the price of energy (gas, electricity and district heating). Energy prices were 2.9 percent lower in March than one year previously, but in February energy was 5.9 percent less expensive than one year earlier.

Since June 2023, CBS has been using a new method to measure energy prices and incorporate them into the CPI. On 30 June, CBS published a background article explaining in more detail what this switch means for the CPI, the inflation rate and the use of the CPI for indexation purposes.

Petrol more expensive

In addition to energy, price changes in petrol also had an upward effect on the inflation rate. In March, petrol was 11.5 percent more expensive relative to one year previously. In February, prices were 9.0 percent higher than the previous year. One liter of Euro 95 petrol cost an average of 2.01 euros in March, compared with 1.97 euros in February.

Inflation in the euro area down

Since 1996, CBS has published two different inflation rates: one based on the Consumer Price Index (CPI) and one based on the European Harmonised Index of Consumer Prices (HICP). According to the HICP, consumer goods and services in the Netherlands were 3.1 percent more expensive in March than in the same month last year. In February, the inflation rate was 2.7 percent according to the HICP. Inflation in the euro area as a whole fell from 2.6 percent in February to 2.4 in March.

Difference between CPI and HICP

In order to facilitate comparison between countries, EU member states calculate a consumer price index according to internationally agreed definitions and methods. The European Central Bank (ECB) uses the HICP to formulate its monetary policies for the euro area. In addition, most countries produce a national consumer price index.

For the Netherlands, the main difference between the CPI and the HICP is that the HICP does not take account of costs related to home ownership while the CPI does. In the Dutch CPI, these costs are calculated based on changes to rental property prices. These differences are explained in greater detail in the article Differences between consumer price figures.