The rate of inflation in Bermuda has risen to three percent for the month of October, according to statistics released by Government yesterday.

The Consumer Price Index, which is used in Bermuda as a key economic indicator and as a measure of inflation, rose to three percent after staying at 2.8 during August and September. The rate has fluctuated between 2.8 percent and 3.1 percent since last December, averaging out at 2.86 percent for the past year.

Figures compiled by the Statistics Department showed that consumer prices rose on average 0.4 percent for the months of October. The all items index, which is made up of a basket of goods which an average household is said to purchase, rose from 117.8 in September to 118.3 in October.

The Statistics Department said that household goods and services supplies increased by 1 percent and there was a hike of 1.5 percent in the household services subcomponent.

In a statement issued yesterday, the statistics department said that this change reflected higher costs for gardening services, which rose ten percent, and laundry services which saw a dramatic hike and went up 27.5 percent.

Household supplies also increased during the month of October with the average cost of cleaning materials, detergents, bleaches and insecticides edging up 0.2 percent.

Food prices remained relatively static, but there were some vegetables that actually went down in price, including cucumbers, which fell 5.7 percent, green peppers down 4.4 percent, celery down 4.3 percent and cantaloupes down 2.5 percent. But sweet pears rose 3.2 percent and cabbage was up 2.7 percent. There was no movement in rents from September to October, but the price of clothing and footwear edged up by 0.1 percent as a direct result of an increase in the cost of dry cleaning, which rose 0.9 percent.

Tobacco and liquor rose 0.8 percent with the average cost of beer and wine rising by 0.5 and 0.4 percent respectively. The price per carton of cigarettes rose by 1.7 percent.

The cost of fuel and power dropped by 1.4 percent during October after the fuel adjustment clause fell by 11.6 percent due lower world prices for a barrel of oil. This led to a fall of 1.5 percent in the cost of electricity. The cost of articles in the transport and vehicle sector in the CPI fell overall by 0.1 percent. This was in part due to customers paying less at the pump for premium and mixed fuel, which fell by 0.3 and 5.4 percent respectively.

But the cost of foreign travel increased as airfares went up by 1.4 percent for selected destinations. But room rates in overseas accommodation fell by 0.8 percent. The cost of goods in the education, reading and recreation section rose by three percent after a price hike of 14.7 percent was recorded for recreational services. Pet care services and supplies rose by 1.3 percent.

The cost of health and personal care rose by 0.1 percent and the cost of eye care rose 3.5 percent. Self prescribed medicines and personal care supplies each increased by 0.2 percent.