UK shopping basket updated

• ONS updates goods and services used to track inflation • Smart phones, apps and dating agency fees all in • Vending machine cigarettes and pork shoulder joints are out Smart phones, apps and dating agency fees have been added to the basket of goods the government uses to calculate the cost of living. The new additions show the importance of the burgeoning digital economy. The basket is designed to reflect what Britons really spend their money on, enabling the government to calculate how rises in prices are affecting living standards. Sparkling wines are being added, suggesting that the UK is experiencing a less austere climate than some claim. Television prices are being collected differently too to separate out TVs larger than 32 inches – reflecting the rise of home cinema systems. On the way out to make way for the new additions are vending machine cigarettes, as well as pork shoulder joints. The ONS said the latter is being replaced by oven-ready joints, as people move towards more prepared foods. Dried fruit has come in for the first time, while women’s fleeces are out. Hardboard is being replaced by MDF. The Office for National Statistics collects 180,000 prices every month of 650 goods and services. Changes in the prices are used to compile the official measure of inflation, the Consumer Prices Index (CPI). “Many of these new items show the way technology is changing our lives. Powerful smart phones and the applications that run on them have become essential for many when communicating or seeking information. Likewise, increasing numbers of people now seek a partner via internet dating sites,” said ONS statistician Phil Gooding. The ONS updates the list of goods included once a year. http://www.statistics.gov.uk/articles/nojournal/cpi-and-rpi-the-2011-basket-of-goods-and-services.pdf Inflation Economics Office for National Statistics Consumer spending Consumer affairs Alex Hawkes guardian.co.uk

Posted by on March 15, 2011. Filed under News, Politics, World News. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.