How Much Has The Cost of Living Increased in Ireland ?
Many people in Ireland seem to be mentioning the increased “cost of living ” as one of the main issues for the upcoming election.
But just how much have prices actually risen in the past few years?
According to figures from the Central Statistics Office – between Q1 2020 and Q1 2024 . the consumer price index (CPI) rose by a total of 18.82% (over the 4 years) .
Other figures from the SVP show that inflation on “core costs” was a similar 16.8% over the same period.
So there is no doubt that the cost of living has risen significantly in the last 4 years.
By comparison – during the previous 4 years (Q1 2016 to Q12020) – CSO figures showed just a 2.5% total increase in the CPI.
Are Earnings Keeping Up With Inflation in Ireland ?
Average earnings figures (also from the CSO) show that in Q1 2020 the average weekly gross wage in Ireland was €799.96.
In Q1 2024 – the average weekly earnings had risen to €969.12 – which is an increase of 21% over the 4 years. (When we looked at average take home wages – the increase was also 21% ).
The increase in average earnings (21%) is larger than the increased cost of living (18.82%) (Q1 2020 to Q1 2024) .
When we looked at the increases in the minimum wage in Ireland – it has increased from €10.10 an hour in Jan 2020 to €12.70 in Jan 2024. This is an increase of just over 25%. Again – this is more than the rise in inflation over the same period.
In summary – whilst there has been significant increases in the cost of living in Ireland since 2020 – there has also been slightly higher increases in average wages and in the minimum wage.