In July 2007, the Harmonised Index of Consumer Prices rose by 0.7 per cent over the previous month, according to National Statistics Office figures released yesterday.

This primarily reflected an increase of 3.6 per cent in the Restaurants and Hotels Index due to higher prices for accommodation services. The Transport Index increased by 1.5 per cent, mainly as a result of higher prices for air fares. Higher prices for fruit, vegetables and cereals caused the Food and Non-Alcoholic Beverages Index to increase by 1.3 per cent. The Housing, Water, Electricity, Gas and Other Fuels Index increased by 0.8 per cent. This was mainly brought about by an increase in the prices charged for materials and services in connection with the maintenance and repair of dwellings. The Furniture, Household Equipment and Routine Maintenance of the House Index increased by 0.1 per cent, mainly due to higher prices for household appliances. The Miscellaneous Goods and Services Index registered an increase of 0.1 per cent as a result of higher prices for health insurance policies.

During the month under review, the Clothing and Footwear Index fell by 8.7 per cent due to seasonal price reductions. In July, the 12-month moving average rate of inflation stood at 0.7 per cent.