During 2020, average annual inflation was –0.7%, according to Switzerland’s Federal Statistical Office (FSO). Since the beginning of 2021 it has begun to rise.
In January 2021 inflation was 0.1%. In February it rose to 0.2% and it March it was 0.3%. Since the end of 2020, Swiss prices have risen by nearly 0.6% (0.56%).
If the current inflation rate were to continue until the end of the year annual inflation in Switzerland would hit 2.25%.
The sharpest price rises since the end of last year were in transport (+1.58%), housing and energy (+0.53%) and hotels and restaurants (+0.94%).
A big driver of rising transport and energy costs is the rising cost of fuel. Petrol prices rose 9.6%, diesel was up 9.0% and heating oil rose 7.8%. Part of the rise in pump prices is due to a 5 cent per litre fuel tax increase introduced at the start of the year. At current pump prices the additional tax represents a roughly 3% price increase.
Rent only rose by 0.3%.
Over the first quarter of 2021, some items fell in price in Switzerland. Food, household goods and services were 0.5% cheaper. Clothing and footwear were 0.2% lower in price.