The SA Centre for Economic Studies produces a Local Government Price Index (LGPI) on behalf of the Local Government Association of South Australia. The purpose of the LGPI is to provide a measure of price movements faced by Local Government in South Australia given their unique mix of goods and services purchases.

Latest results released today indicate that the LGPI rose by 0.6 per cent in the March quarter 2017. In comparison, the Adelaide Consumer Price Index, which measures price inflation faced by households, rose by 0.4 per cent in the March quarter.

Looking at changes over the past year, the LGPI rose by 2.1 per cent through the year to the March quarter 2017, while the Adelaide CPI rose by 2.0 per cent.

Inflation has picked up over the past year from a relatively low level. The 2.0 per cent rise in the Adelaide CPI over the year to March 2017 compares with a 0.7 per cent rise over the previous year. The acceleration in the Adelaide CPI has been driven by price rises for fuel, electricity and food and beverages.