NEWS RELEASE PRICES 28 MAY 2026

The Consumer Price Index (CPI) based on prices in May 2026, is 684.3 points (May 1988=100), 0.07% higher than in the previous month. The CPI less housing cost is 546.3 points, 0.13% lower than in April 2026.

Cost of owner occupied housing (imputed rent) increased by 0.6% (effect on index 0.13%). Price of diesel decreased by 7.0% (-0.07%) and the price of petrol decreased by 7.3% (-0.14%).

On 1 May the VAT rate on diesel and petrol was reduced from 24% to 11%. If the prices of these fuels were calculated with 24% VAT instead of 11% the price of diesel would have been 3.9% higher than in the previous month (effect on index 0.04%) and the price of petrol would have been 3.6% higher (0.07%). The overall impact of the VAT change on the CPI is therefore estimated to be around 0.32% downward.

The CPI is 5.1% higher in May 2026 than in May 2025 and the CPI less housing cost is 4.6% higher than one year ago.

The CPI compiled in the middle of May 2026, 684.3 points, is applicable for indexation purposes in July 2026.





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Further Information

For further information please contact 5281100 , email upplysingar@hagstofa.is

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