Bermuda records inflation of 3.7%; highest in 15 years

Bermuda’s Ministry of Economy and Labour reported that the cost of goods in the country rose 3.7% year over year, the largest increase in 15 years.

Minister of Economy and Labour Jason Hayward released the May 2022 Consumer Price Index (CPI) report. Hayward said the increase was the highest since December 2007, when inflation was 3.6%.

Food costs rose 6.4% annually, led by tenderloins (18.4%), frozen entrées (11.4%), fruit juices (10.8%), and baby food (up 9.4 per cent).

Health insurance costs rose 6%, prescription medicine costs rose 2.4%, and self-prescribed and household medical supplies rose 1.4%.

Premium and mixed fuel prices rose more than 7%, reflecting price increases before February’s freeze.

Hayward said that transport and foreign travel contributed 8.4% to the 12-month Consumer Price Index increase. Overseas hotel costs (up 51%), airfares (12%), premium fuels (7.5%) and mixed fuels (7.1%) rose annually.

The Minister added that the education, recreation, entertainment, and reading sectors also impacted the annual inflation rate with a 5.3% increase, noting a 25% increase in newspaper prices and a 20% increase in pleasure boat prices.

“Household goods, services, and supplies rose 2.9% in a year. Dining room and bedroom furniture prices rose 44.7% and 11.1%.”