The Australian Bureau of Statistics (ABS) today released its cost of living indices for the December quarter, which revealed a rise in the cost of living across cohorts, although pressures remain subdued overall (see below table).
According to the ABS, the cost of living for households headed by working Australians rose by 1.0% in the year to December – below both the 2.1% average weekly earnings growth (to May 2016) and the 1.5% increase in the Consumer Price Index (CPI).
For households headed by Australians on benefits, old age pensioners and self funded retirees the cost of living rose by 1.8%, 1.6% and 1.4% respectively over the year.
Overall, Alcohol & tobacco, Transport and Food were the main drivers of the rising cost of living across all cohorts, whereas Health, Furnishings, household equipment & services, and Communications were the main detractors (see below table).
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