The portfolio of the French risks being harmed for a while yet. The rise in consumer prices accelerated further in France in June to reach 5.8% over one year, against 5.2% in May, according to a first provisional estimate published by INSEE on Thursday.
Inflation is driven by the rise in energy and food prices, which increased by 33.1% and 5.7% respectively compared to June 2021, specifies the National Institute of Statistics. Over one month, consumer prices increased by 0.7% in June, like the previous month and after 0.4% in April.
A stronger increase in June than in May
INSEE does not specify in this first estimate the level of the price increase for the 20% of the population with the lowest incomes, a figure which is used to reassess the minimum wage when the increase for this segment of the population reaches 2 %.
Also over a month, “energy prices would accelerate significantly in line with those of petroleum products”, according to the INSEE press release. The prices of services increased in June by 3.2% over one year, at the same rate as the previous month, while those of manufactured goods slowed to 2.6%, against 3.0% in May. Finally, the harmonized consumer price index, which serves as a basis for European comparisons, increased in June by 6.5% over one year, against 5.8% in May.