Inflation below 4pc in EC

Press, 9 June 1986, Page 29

Inflation below 4pc in EC

The European Community's annual inflation has fallen below 4 per cent for the first time, despite a slight monthly increase in April, according to the community’s statistics office, Eurostat.

It said prices rose 0.4 points from March to April, compared with 0.2 points the month before. But the year-on-year rate stood at 3.7 per cent at the end of April, compared with 4.1 per cent in March.

Eurostat said the higher rise for the 12 community members in April was due mainly to sharp increases in certain member countries.

Denmark registered a 2.5 per cent rise, due to the raising of some taxes. In Britain, rent, rate and water charge rises pushed up prices by 1 per cent, while they also

rose strongly in Greece, 1.5 per cent, and Portugal, 1.3 per cent. Eurostat also published cost of living figures which showed that Denmark was the most expensive community country to live in, and Portugal, where the cost of living was half that of Denmark, was the cheapest.

The April annual inflation rates for EC member states with monthly movements in brackets were: West Germany -0.2 (-0.1), France 2.7 (0.4), Italy 6.8 (0.3, estimated figures), the Netherlands 0.7 (0.4), Belgium 1.4 (0.3), Luxemburg 0.5 (-0.1), Britain 3.0 (1.0), Ireland’s figures calculated quarterly, Denmark 3.9 (2.5, estimated,) Greece 24.7 (1.5), Spain 7.8 (0.3, estimatedj. Portugal 12.3 (1.3, estimated).