Over the course of 2024, the inflation rate fell steadily from 4.6 percent in January to 1.8 percent in September and October, before slightly rising to 2.0 percent in December.

Inflation 2024: Gastronomy and Hotel Industry as Price Drivers

The decline in household energy prices had a particularly dampening effect, while services mainly drove prices, Statistik Austria reported on Wednesday. The increase in gastronomy prices was less than in 2023, but still significantly above the inflation rate. Accordingly, prices in restaurants and hotels increased by 7.0 percent. Hotel prices rose by 6.3 percent, goods and services became 5.3 percent more expensive. Insurance became significantly more expensive (plus 6.5 percent), expenditures for personal care increased by 4.2 percent. The inflation for housing, water, energy was 2.2 percent, a fifth of 2023. The main reason for this decline were the prices for household energy, which fell by 6.9 percent in 2024.

Gas Significantly Cheaper Last Year, Electricity More Expensive Despite Measures

Broken down by individual energy sources, it is evident that gas prices fell by 16.8 percent in 2024. For district heating, the decrease was 12.1 percent, solid fuels fell by 16.4 percent. For heating oil, however, the decrease was only 4.7 percent. Electricity prices, which were dampened by the electricity price brake, the network cost subsidy for GIS-exempt households and the electricity cost supplement, increased by 1.2 percent.

The maintenance of apartments recorded a two-thirds lower inflation rate of 4.3 percent compared to 2023. Rents (including new rentals) increased by 6.7 percent. The price increases for food and non-alcoholic beverages were 2.6 percent. According to Statistik Austria, expenditures for transport hardly increased. In particular, used cars depressed inflation, they became 5.0 percent cheaper compared to the previous year. New cars became 2.3 percent more expensive. Fuel became cheaper, with statisticians recording a year-on-year decrease of 2.2 percent.

"After the highest price increases since the first oil price crisis in 1974 in the years 2022 with 8.6 percent and 2023 with 7.8 percent, inflation in 2024 fell to 2.9 percent, roughly the level of 2021. The decline in the inflation rate was stronger in Austria over the course of the year than in most other countries in the euro area," said Statistik Austria Director General Tobias Thomas on Wednesday in a press release.

(APA/Red)

This article has been automatically translated, read the original article .