An independent economist comments on New Zealand’s annual inflation rate hitting its highest level in more than two years on rising fuel prices. The consumer price index (CPI) increased 4.1% in the 12 months to the June 2026 quarter. The 4.1% increase follows a 3.1% increase in the March quarter. The largest upward contributor to the annual inflation rate was petrol, up 27.5%.

An independent economist comments on New Zealand&rsquo;s annual inflation rate hitting its highest level in more than two years on rising fuel prices. The consumer price index (CPI) increased 4.1% in the 12 months to the June 2026 quarter. The 4.1% increase follows a 3.1% increase in the March quarter. The largest upward contributor to the annual inflation rate was petrol, up 27.5%.

Looking for actionable business insights all in one place? 

We're here to help you find a way with a curation of the ‘best bits’ from top business podcasts. 

Save time searching; subscribe to the SME Stream where you can listen to relevant, timely, business-related content today. 

 

Looking for actionable business insights all in one place? 
We're here to help you find a way with a curation of the &lsquo;best bits&rsquo; from top business podcasts. 
Save time searching; subscribe to the SME Stream where you can listen to relevant, timely, business-related content today.&nbsp;
&nbsp;

The SME Stream

The Country 21/07/26: Cameron Bagrie talks to Jamie Mackay

First it came for the groceries, the mortgage and the power bill. Now the economy is coming for our fun.

From $12 glasses of wine and $27 movie tickets to streaming subscriptions that keep creeping up, the cost of enjoying yourself is becoming harder to justify.

Liam Dann and Tamsyn Parker unpack “funflation”, the latest inflation data, and whether bird flu could make chicken and eggs the next household staples to surge in price.

The Economy of Everything is made in partnership with CMC Markets

First it came for the groceries, the mortgage and the power bill. Now the economy is coming for our fun.
From $12 glasses of wine and $27 movie tickets to streaming subscriptions that keep creeping up, the cost of enjoying yourself is becoming harder to justify.
Liam Dann and Tamsyn Parker unpack &ldquo;funflation&rdquo;, the latest inflation data, and whether bird flu could make chicken and eggs the next household staples to surge in price. The Economy of Everything is made in partnership with <a href="https://www.cmcmarkets.com/en-nz">CMC Markets</a>

The economy is coming for our fun

Inflation has hit 4.1% - the highest level in more than two years.

Economists had expected it surge to somewhere between 3.9 and 4.1 percent. 

However, the end result is well below some previous forecasts, which reached 4.9%. 

If we ignored the surging fuel prices, Westpac economists reckon inflation would be about 2.8 percent. 

So what does this actually mean for the cost of living, for interest rates, and for the story of the New Zealand economy in 2026? 

Today on The Front Page, NZ Herald business editor at large Liam Dann is with us to unpack how we got to 4.1%, what’s really driving the numbers, and what comes next for households, businesses, and the path back to stable prices.

Follow The Front Page on iHeartRadio, Apple Podcasts, Spotify or wherever you get your podcasts.

You can read more about this and other stories in the New Zealand Herald, online at nzherald.co.nz, or tune in to news bulletins across the NZME network.

Host: Chelsea Daniels
Editor/Producer: Richard Martin
Producer: Jane Yee

Inflation has hit 4.1% - the highest level in more than two years.
Economists had expected it&nbsp;surge to&nbsp;somewhere&nbsp;between 3.9&nbsp;and&nbsp;4.1 percent.&nbsp;
However,&nbsp;the end result&nbsp;is well below some&nbsp;previous&nbsp;forecasts, which reached 4.9%.&nbsp;
If we ignored the surging fuel prices, Westpac economists reckon inflation would be about 2.8 percent.&nbsp;
So&nbsp;what does this&nbsp;actually mean&nbsp;for the cost of living, for interest rates, and for the story of the New Zealand economy in 2026?&nbsp;
Today on The Front Page, NZ Herald business editor at large Liam Dann is with us to unpack how we got to 4.1%, what&rsquo;s really driving the numbers, and what comes next for households, businesses, and the path back to stable prices.
Follow The Front Page on iHeartRadio, Apple Podcasts, Spotify or wherever you get your podcasts.
You can read more about this and other stories in the New Zealand Herald, online at nzherald.co.nz, or tune in to news bulletins across the NZME network.
Host: Chelsea Daniels Editor/Producer: Richard Martin Producer: Jane Yee

Why inflation is up again and what’s really driving it

In the absence of a sick Jo Luxton (and some Labour ag policy), the gloves come off with the trade spokesman and former Minister of Agriculture. Today we debate the RMA changes, the Indian FTA and wool.

In the absence of a sick Jo Luxton (and some Labour ag policy), the gloves come off with the trade spokesman and former Minister of Agriculture. Today we debate the RMA changes, the Indian FTA and wool.

The Country 21/07/26: Cameron Bagrie talks to Jamie Mackay

In 1 playlist(s)

The SME Stream

Social links

Follow podcast

Recent clips