Inflation in the country

Hotels and restaurants are the biggest price drivers

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(Bild: P. Huber)

Inflation in Austria is on the decline - but not to the extent predicted in the flash estimate ...

"The upward price trend has slowed considerably, especially in the housing sector," explains Statistics Austria Director General Tobias Thomas. "Food prices also rose at a below-average rate in May, while prices in the food service sector rose more than twice as fast as general inflation."

Overall, the inflation rate fell to 3.4 percent in May, down from 3.5 percent in April. At the end of May, Statistics Austria originally expected inflation to rise by 3.3 percent compared to the same month last year. Compared to April of this year, prices rose by 0.1 percent, according to a statement from Statistics Austria.

However, prices in restaurants and hotels climbed by an average of 7.5 percent within a year. They influenced the inflation rate by 0.99 percentage points and were therefore once again the biggest price driver. Catering services increased in price by 7.6 percent and accommodation services by 6.6 percent.

Housing is becoming cheaper again
Price increases for housing, water and energy fell significantly: compared to May 2023, prices here rose by 2.6%. For April, Statistics Austria recorded an increase of 3.3%.

Consumers had to pay an average of 2.8% more for food and non-alcoholic beverages than a year ago. For April, Statistics Austria recorded an increase of 3.2 percent.