April 30, 2020
Maori household inflation up in smoke
Statistics New Zealand says higher cigarette and tobacco prices hit Māori and beneficiary households the most in the March 2020 quarter.
What could be the last annual tobacco tax rise January 1 pushed prices for cigarettes and tobacco 11 per cent higher in the consumer price index.
Consumer prices manager Sarah Johnson says that was a key contributor to inflation for all household groups, but it was felt harder by Māori and beneficiary households.
That’s because cigarettes and tobacco made up more than 4 per cent of all expenses for beneficiaries and Māori households, compared with less than 3 per cent for all households as a group.
Rent also rose in the March 2020 quarter, making up more than 30 per cent of beneficiary households’ expenses compared with about 11 per cent for all households.
Those factors meant inflation for beneficiary households was up 1.4 per cent in the quarter, compared with a 0.8 per cent rise for all households.
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