July 26, 2012
Prices increased by 0.6 per cent in Canberra in the June quarter, led by a jump in the cost of eating and drinking.
Australian Bureau of Statistics figures show food and non-alcoholic drinks were up 1.4 per cent in the three months, and alcohol and tobacco were up 1.7 per cent - both are well above the national increases. The increase in food prices was the largest in the nation, and driven by higher vegetable prices caused by bad weather.
There was also larger than average increases in the cost of clothes and shoes (2 per cent), but health costs (1 per cent) and transport costs (0.6 per cent) rose by less in the territory than nationally.
Prices for some categories fell in the quarter. Costs for communication (-0.3 per cent), recreational and cultural activities (-0.7 per cent) and insurance and financial services (-1 per cent) were all lower than in the March quarter.
However, at 0.6 per cent, the overall consumer price index for Canberra for the June quarter was slightly higher than the national rate of 0.5 per cent. It was the same as the national rate over the past year, at 1.2 per cent.
Meanwhile, homebuyers in the capital continue to pay more with the costs of both houses and apartments increasing over the June quarter.
Canberra's median house price increased by 1.1 per cent to $575,825 over the past three months, according to figures issued by Australian Property Monitors today.
The price is now 0.3 per cent higher than the previous peak recorded in March 2011.
Despite the increase, Canberra remains the third most expensive capital city for buying a home, behind Sydney and Darwin at $642,425 and $608,843 respectively.
Across the country, the median house price rose by 0.4 per cent over the quarter.
The increases come after a recent statement by the Reserve Bank governor, Glenn Stevens, who claimed that housing affordability is the best it has been in a decade.