The fact that housing is one of the costs that are substantially higher here than in other countries – at almost 90% greater than the EU average – will come as little surprise given both the huge pressures on housing supply, and the consistent failure to meet demand.
It is somewhat surprising, or at least ought to be given the “comparative advantages” that this country ought to enjoy, that food prices in Ireland are 17.5% higher.
The increasing cost of living, of course, has become a major focus of attention here over the past number of months. Eurostat found that the cost of food in Ireland was more than 17% higher than the EU average.
Inflation in Ireland exceeded 8.3% in May – slightly higher than the EU average of 8%.
Ireland’s price level for alcohol and tobacco scored at 205 on the Eurostat index – almost twice the EU average.
Variances in price levels for tobacco and alcohol were largely due to differences in taxation, Eurostat said.
Ireland’s worst scores were in housing – coming in at 88.5% higher than the EU average – while we also fared badly for hotels and restaurants which are now revealed to be 29.5% higher than average.
Eurostat said it was presenting the most recent analysis of price levels for consumer goods and services in the European Union (EU), focusing on price level indices (PLIs), which provide a comparison of countries’ price levels relative to the EU average and are calculated using purchasing power parities.
The results are based on price surveys covering more than 2 000 consumer goods and services which were conducted across 36 European countries participating in the Eurostat-OECD Purchasing Power Parities (PPP) program. The group of participating countries includes the 27 EU Member States, three EFTA countries (Iceland, Norway and Switzerland), five candidate countries (Albania, Montenegro, North Macedonia, Serbia and Turkey) and one potential candidate country (Bosnia and Herzegovina).