Food and housing prices fuel Guernsey's rising cost of living but overall inflation slows

There is some good news for Guernsey residents as inflation drops but the high cost of food and housing remains an issue. Credit: Tierra Mallorca/Unsplash & PA

The amount prices are rising in Guernsey has dropped to 7.3%.

That is 1% lower than the previous quarter and compares favourably to the UK and Jersey which both have higher inflation figures.

However, it is still well above the 2% target that the Bank of England is working towards for healthy growth - with the price of food and housing fuelling the high cost of living.

In the past year, Guernsey's food prices have gone up by 11.4% and the housing sector increased by 9.9% - much higher than the overall rate of inflation.

The cost of leisure services also hit people's pockets with a rise of 10.9% over the last 12 months.

"We've seen a gradual increase in the number of people accessing the service," Sue Le Friec from Guernsey's Welfare Service explained.

"People who are in work, as well as people on benefits, and it's just very difficult for people to make ends meet at the moment."

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