Clothing prices fell by an average of 1.5%. The price of household appliances and repairs fell on average by 7.9% compared to the previous month. Fruits saw an average price drop of 3.1%. Computers and accessories cost 9.3% less on average. Holiday villages saw an average price drop of 2.9%. Smartphones fell 11.7% on average this month.
If we look at the price fluctuations over the last twelve months, we see that gas holds the prize for the strongest increase. Consumers now have to pay 59.2% more than a year ago to obtain them. However, this increase must be qualified. In reality, it is amplified by the way in which government aid for electricity and natural gas is integrated into the index, which means that energy inflation will show levels above normal until February 2025.
Belgians have lost 16 square meters of purchasing power in two years
Second place in this inflation ranking goes to cigarettes, the price of which jumped by 28.1%. A development directly attributable to the increase in excise duties, effective since January 1, 2024, which makes each package approximately 2 euros more expensive. The government led by Alexander De Croo has, in a few years, increased the average price of a pack of cigarettes from 6.80 euros to almost 10.80 euros, with the aim of discouraging smoking and encouraging better public health. Other tobacco products did not escape the price increase either (+ 27.7%), as did other energy products (+ 27.4%).
Once again, the increases hit olive oil hard, with its price jumping 21.3%. This is not the first time that olive oil has been at the top of price increases. Last year, this product became 30.6% more expensive. The cause of the price rise lies in the malaise of European olive groves, plagued by drought, disease and forest fires. There’s a good chance olive oil will become cheaper by 2025. Deoleo, the company behind the Bertolli and Carbonell brands, expects the next harvest to be much better.
Eurozone inflation up to 2.2%
The rise in the price of gold (+ 30%) also impacted jewelry, with an increase of around 15% in the space of a year. Jewelry now costs 15% more than it did a year ago. The increase, although less significant, also impacts silver jewelry, the price of which increased by 20%. On the banks’ side, fees linked to services have increased three times faster than inflation, with an increase of 10.5% and this is not expected to be reversed next year since BNP Paribas Fortis will increase the price from its basic package of €3.50 to €5.50 from January 1.
Some prices have fallen
Fortunately, many products have also seen their prices drop. Indeed, diesel is now 4.2% lower in price compared to the previous year, while gasoline has fallen by 3.6%. Another element of reassurance for households is the marked reduction in the price of domestic fuel, with a recorded drop of up to 9.1%. This pricing dynamic is closely linked to the decline in the price of crude oil, with North Sea Brent falling from $81 per barrel a year ago to around $73 today, corresponding to a decrease of almost 10 %.
At the same time, the consumer durable goods sector is also witnessing a significant drop in prices. Refrigerators and washing machines are now more accessible, with their prices falling by 13%, while mobile phones saw a drop of 8.7%. These reductions appear to result from the expansion of market shares of low-cost manufacturers, mainly from non-European countries. Computers particularly stand out with a striking price drop, becoming 17.5% cheaper.
