Guernsey inflation continues to slow, figures show

The annual rate of inflation in Guernsey has continued to slow, according to the latest figures.

In the 12 months to December 2025, the Retail Price Index (RPI) – which shows the cost of living in Guernsey – was 3.4%, the States of Guernsey data unit said.

The RPI was previously 4.6% in the 12 months to December 2024, official figures showed.

Guernsey’s inflation statistics are published quarterly by the government’s data and analysis team, and track the price changes of a “shopping bag” of 2,000 goods and services. Inflation peaked in December 2022 at 8.5%, the highest level since 1991.

The biggest increase, over the 12 months to December, was a 6.3% increase in the price of fuel, after the cost of kerosene went up in the past three months.

Other big increases were catering, which saw prices soar by 6%, while personal goods and services, which include glasses, jewellery and dental treatments, went up by 5.7% over the year.

Housing saw a 1% increase, with most of this coming from rising mortgage payments, the report said.

Some costs went down over the last quarter to December, with a 2.7% drop in fares and other travel, which could be due to seasonal pricing, although taxi fares increased.

There was no change in the price of tobacco products in the last quarter as changes to excise duty are due early this year.

Alcohol saw a 0.6% increase for the same period, but some costs were offset by Christmas offers, the report said.