Prices in Catalonia stagnate in July but increase by 2.6% compared to a year ago
The Catalan Government’s drug prescription fee and the Spanish Executive’s decision to make citizens pay for a greater share of prescribed drugs have had an effect on inflation. The price of pharmaceutical products has had its highest increase since at least 2003.
Madrid (ACN).- Prices in Catalonia stagnated over July, compared to a month ago. However, compared to 12 months ago, they increased by 2.6%, when a month ago the annual inflation rate in Catalonia was 2.2%, according to data released on Tuesday by the Spanish Statistics Institute (INE). For the whole of Spain, the annual inflation rate at the end of July was 2.2%. The Catalan annual inflation rate registered in July was the highest this year, despite the current economic recession. The INE explained the high price increases as a consequence of the cost increase of pharmaceutical products. The Spanish Government’s decision to make citizens pay for a greater share of prescribed and partially subsidised drugs is behind this price increase. Furthermore, in Catalonia, citizens also have to pay the 1 euro drug prescription fee approved by the Catalan Government, which provoked a higher inflation rate.
In Catalonia, pharmaceutical prices rose by 17.6% in relation to a month ago, an increase not seen since at least 2003, the year the INE started to count the inflation rate under the current formula. In the whole of Spain, pharmaceutical prices increased by 9.7% over July. The annual inflation rate of pharmaceutical products in Catalonia was 13.7%. This made Catalonia’s annual inflation rate registered in July reach 2.6%, the highest rate since last November, when the registered annual inflation rate accounted for 3%. In fact, Catalonia registered the highest annual inflation rate in Spain last July. Within Catalonia, the highest price increase was registered in the Province of Lleida (2.8%), in the West.
Regarding the monthly evolution, over July, prices stagnated in Catalonia. In the whole of Spain, they decreased by 0.2%. The difference is mainly explained by the raise in cost of pharmaceutical products. However, fuel and housing-related prices have also contributed to the price increase, mainly due to the rise in power-supply prices. Fuel and lubricants annually increased by 3.8%, both in Catalonia and in the whole of Spain. Housing-related prices increased by 5.4% in the whole of Spain and by 5.2% in Catalonia. Food and non-alcoholic drinks had an annual inflation rate of 1.8%, both in Catalonia and in the whole of Spain. The price of alcoholic beverages and tobacco increased by 9.5% in the whole of Spain and by 9.2% in Catalonia.