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Inflation edges higher

Inflation: An increase in the price of Bermuda carrots was a factor in higher food prices

Inflation edged higher in July, driven by increases in the cost of healthcare and food.

The annual inflation rate rose to 1.9 percent from 1.8 percent in June, according to the Consumer Price Index (CPI), published by Government today.

However, between June and July 2014, the average cost of goods and services in the CPI was unchanged. The basket of goods and services that cost $100 in April 2006 now costs $124.30.

The health and personal care sector remained the largest contributor to the 12-month rate of price increase and rose 5.9 percent from July 2013.

Food prices rose 3.3 percent from a year earlier, with the main drivers local carrots (up 5.9 percent), fresh and frozen pork loins (five percent) and pasta (4.3 percent). Rent also increased by 0.9 percent.

The fuel and power sector continued its upward trend, increasing 1.8 percent in July following a 0.7 percent increase in June.

Residential consumers paid an average of six percent more for electricity due to an increase in the fuel adjustment rate.