Inflation in the Netherlands reaches highest level since 1976
Dutch inflation rate rose to 9,7 percent in March 2022
Last week, CBS reported that, according to the European HICP method, the prices of goods and services in the Netherlands rose by 11,9 percent in the last year. Now using the slightly different CPI method, which also takes the prices of owner-occupied homes into account, CBS has announced new inflation figures for the month of March.
According to the national statistics office, after inflation in the Netherlands dipped slightly in February, the figure rose significantly in March, reaching 9,7 percent. This marks the highest inflation rate recorded since April 1976, when it reached 9,8 percent.
This means that inflation in the first quarter of this year was 7,4 percent. Salaries are unable to keep up with these rising prices, with collectively negotiated wages going up by just 2,4 percent in the first three months of this year.
Rising costs of energy, petrol, and food largely to blame
CBS notes that the sharp increases in prices can mainly be attributed to the considerable spike in the cost of gas and electricity; last month, energy was 157 percent more expensive than in March 2021. This is already having serious consequences for production costs, and has already translated into a significant rise in prices for consumers.
Fuel prices have also risen significantly over the past year, rising by 36,5 percent between March 2021 and last month. While last spring, a litre of Euro 95 petrol cost drivers an average of 2,05 euros, this figure rose to 2,29 euros a litre in March. The price of food has also contributed to the steep increase in inflation, rising by 6,2 percent over the past 12 months.