• The interest rates for household’s mortgages rose and contributed with 2.4 percentage points to the annual inflation rate according to CPI.
• Electricity prices rose in November but were 22.5 percent lower than 12 months ago.
• Prices of recreation and culture decreased by 2.7 percent from October to November.
• The annual inflation rate according to CPIF excluding energy decreased from 6.1 percent in October to 5.4 percent in November.

Increased electricity prices

The CPI increased by 0.3 percent from October to November. In the corresponding period a year ago, prices increased by 1.0 percent.

In November, the rise in the monthly change was mainly due to increased electricity prices. Additionally, there was higher interest expenses for household’s mortgages which in combination with the rising electricity prices contributed to an increase in the housing costs.

The price increases were partially offset by decreased prices on fuel, package holidays and games for consoles and computers.

The table below shows changes on a monthly basis and contributions to the CPI based on the goods and services that had the greatest impact on the CPI in November 2023. The results are presented by COICOP category. COICOP refers to the United Nations classification of household consumption expenditure.

Decrease in inflation rate in November

The inflation rate according to the CPI, that is, the change in the CPI from the same month last year, was 5.8 percent in November 2023. This is a decrease from October, when the inflation rate was 6.5 percent.

The contributions to the inflation rate in November mostly came from higher housing costs, which was mainly affected by higher interest rates for household’s mortgages and actual rentals for housing. On the other hand, there was a decrease in electricity prices which have fallen by 22.5 percent since November 2022. In total, the increasing housing costs contributed with 2.0 percentage points to the inflation rate according to CPI.

Food prices have risen by 6.5 percent compared to November 2022. Additionally, prices for visiting hotels and restaurants have increased. There have also been price increases in recreation and culture where package holidays and recreational and cultural services have risen in price.

In addition to the decreasing electricity prices, the price increases were offset by a decline in fuel prices. They are now 6.8 percent lower compared to November last year.

The inflation rate according to CPIF, which unlike CPI is not affected by changes in mortgage interest rates, was 3.6 percent in November. The corresponding rate for October was 4.2 percent.

The inflation rate calculated excluding energy products (CPIF-XE) was 5.4 percent in November, which is a decrease compared to October when it was 6.1 percent.

Compilation method for 2024 weights

The weights used to compile the CPI, HICP and other measures of consumer side inflation are updated on an annual basis. Statistics Sweden has decided that the 2024 update will be based on the same method as was used for the past three years; for more information see:

Compilation method for CPI and HICP weights during 2024

Different measures of inflation

Statistics Sweden calculates different inflation measures for different purposes. The CPIF is the Riksbank’s target variable, while CPI is the measure used for purposes of compensation. The CPIF includes the same goods and services as CPI. The difference between the CPI and the CPIF is that the latter measure holds interest rates for household’s mortgages constant. As a consequence, thereof, the effect of changed interest rates for household’s mortgages is only captured by the CPI and not the CPIF.

Additional to the CPI and the CPIF, the HICP is also calculated. The HICP is a harmonized measure of inflation used within the EU cooperation. Another index that is calculated each month is CPIF-XE (the CPIF excluding energy products) which is often used as a measure of underlying inflation.