MAIN CONTRIBUTORS TO CHANGE
PENSIONER AND BENEFICIARY HOUSEHOLDS (+0.8%)
The living cost index for PBLCI rose 0.8% in the December quarter 2017. The main contributors to the rise are alcohol and tobacco (+4.8%) and transport (+3.5%). The rise in alcohol and tobacco is driven by tobacco due to the flow on effects of the federal excise tax increase effective 1 September 2017. The rise in transport is driven by automotive fuel with all fuel types recording rises this quarter.
Health (-2.0%) contributed the most significant partial offset this quarter, driven by pharmaceutical products due to the cyclical increase in the proportion of consumers exceeding the Pharmaceutical Benefits Scheme (PBS) safety net.
The LCI for PBLCI (+0.8%) recorded a larger rise compared to the CPI (+0.6%) this quarter.
Over the last twelve months the PBLCI rose 2.3% while the CPI rose 1.9%.
EMPLOYEE HOUSEHOLDS (+0.7%)
The living cost index for employee households rose 0.7% in the December quarter 2017. The main contributors to the rise are transport (+2.7%) and alcohol and tobacco (+3.0%). The rise in transport is driven by automotive fuel with all fuel types recording rises this quarter. The rise in alcohol and tobacco is driven by tobacco due to the flow on effects of the federal excise tax increase effective 1 September 2017.
Furnishings, household equipment and services (-0.8%) contributed the most significant partial offset this quarter, driven by household textiles. This is due to ongoing competition and continued discounting activity in the retail industry.
The LCI for employee households (+0.7%) recorded a larger rise compared to the CPI (+0.6%) this quarter.
Over the last twelve months the LCI for employee households rose 2.0% while the CPI rose 1.9%.
AGE PENSIONERS (+0.6%)
The living cost index for age pensioner households rose 0.6% in the December quarter 2017. The main contributors to the rise are transport (+3.3%) and food and non-alcoholic beverages (+1.4%). The rise in transport is driven by automotive fuel with all fuel types recording rises this quarter. The rise in food and non-alcoholic beverages is driven by fruit due to rises in berries, particularly strawberries and grapes.
Health (-1.7%) contributed the most significant partial offset this quarter, driven by pharmaceutical products due to the cyclical increase in the proportion of consumers exceeding the Pharmaceutical Benefits Scheme (PBS) safety net.
The LCI for age pensioner households recorded the same movement as the CPI (+0.6%) this quarter.
Over the last twelve months the LCI for age pensioner households rose 2.1% while the CPI rose 1.9%.
OTHER GOVERNMENT TRANSFER RECIPIENT HOUSEHOLDS (+1.0%)
The living cost index for other government transfer recipient households rose 1.0% in the December quarter 2017. The main contributors to the rise are alcohol and tobacco (+5.6%) and transport (+3.5%). The rise in alcohol and tobacco is driven by tobacco due to the flow on effects of the federal excise tax increase effective 1 September 2017. The rise in transport is driven by automotive fuel with all fuel types recording rises this quarter.
Health (-2.5%) contributed the most significant partial offset this quarter, driven by pharmaceutical products due to the cyclical increase in the proportion of consumers exceeding the Pharmaceutical Benefits Scheme (PBS) safety net.
The LCI for other government transfer recipient households (+1.0%) recorded a larger rise compared to the CPI (+0.6%) this quarter. Other government transfer recipient households have a higher expenditure on alcohol and tobacco, which rose this quarter, when compared to the CPI population.
Over the last twelve months the LCI for other government transfer recipient households rose 2.4% while the CPI rose 1.9%.
SELF-FUNDED RETIREE HOUSEHOLDS (+0.6%)
The living cost index for self-funded retiree households rose 0.6% in the December quarter 2017. The main contributors to the rise are transport (+2.3%) and food and non-alcoholic beverages (+1.2%). The rise in transport is driven by automotive fuel with all fuel types recording rises this quarter. The rise in food and non-alcoholic beverages is driven by fruit due to rises in berries, particularly strawberries and grapes.
Furnishings, household equipment and services (-1.2%) contributed the most significant partial offset this quarter, driven by household textiles. This is due to ongoing competition and continued discounting activity in the retail industry.
The LCI for self-funded retiree households recorded the same movement as the CPI (+0.6%) this quarter.
Over the last twelve months the LCI for self-funded retiree households rose 1.6% while the CPI rose 1.9%.
Percentage change, Commodity group - September Quarter 2017 to December Quarter 2017 |
|
 | Pensioner and beneficiary LCI | Employee LCI | Age pensioner LCI | Other government transfer recipient LCI | Self-funded retiree LCI | Consumer Price Index (CPI) |
| Weighted average of eight capital cities | | | | | | % |
|
| Food and non-alcoholic beverages | 1.3 | 1.0 | 1.4 | 1.2 | 1.2 | 1.0 |
| Alcohol and tobacco | 4.8 | 3.0 | 3.4 | 5.6 | 1.9 | 3.2 |
| Clothing and footwear | -0.3 | -0.2 | -0.4 | -0.4 | -0.5 | -0.3 |
| Housing(a) | 0.2 | 0.3 | 0.2 | 0.3 | 0.3 | 0.3 |
| Furnishings, household equipment and services | -1.0 | -0.8 | -1.2 | -0.8 | -1.2 | -0.8 |
| Health | -2.0 | -0.3 | -1.7 | -2.5 | -0.7 | -0.5 |
| Transport | 3.5 | 2.7 | 3.3 | 3.5 | 2.3 | 2.4 |
| Communication | -1.3 | -1.3 | -1.2 | -1.4 | -1.3 | -1.3 |
| Recreation and culture | 0.8 | 0.7 | 1.0 | 0.4 | 0.8 | 0.6 |
| Education | 0.1 | 0.1 | 0.0 | 0.1 | 0.1 | 0.1 |
| Insurance and financial services(b) | 1.1 | 0.8 | 1.4 | 0.8 | 1.5 | 0.2 |
| All groups | 0.8 | 0.7 | 0.6 | 1.0 | 0.6 | 0.6 |
|
| (a) New dwelling purchase by owner-occupiers are included in the CPI but excluded from the Selected Living Cost Indexes. |
| (b) The Selected Living Cost Indexes includes interest charges and general insurance. Interest charges are excluded from the CPI and general insurance is calculated on a different basis. |
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