WELLINGTON TOPICS

Hokitika Guardian, 3 May 1929, Page 2

WELLINGTON TOPICS

COST OF LIVING.

HIGH IN CAPITAL.

(Special Correspondent)

WELLINGTON, May 1. Since the war Wellington lias borne the unsought reputation of being most costly place otf residence among the four large cities of the Dominion, and according to the Abstract of Statistics just issued. by the Government Printer it deserves this “ evil report.” Tlie Government Statistician has taken as the basis of his comparison the figure 1000 as representing the average of prices prevailing in July, 1914, the month before the outbreak of the Great War, and'has shown the subsequent annual increases .and fluctuations. It would'be tedious .to enumerate the average prices for commodities and rent year by :■ year between 1914 and 1929; but it-may be said that by 1915 the average, prices for groceries had risen from the figure 1000 to the figure 1167; for dairy produce from 1000 to 1091; for meat from 1000 to 1096 for fuel and light from 1000. to 1013; for clothing and footwear from 1000 to 1089; for miscellaneous commodities from -1000 to 1025, and foi rent from 1000 to 1010. The average of the whole of the groups combined was an advance from 1000 to 1072. By,'the conclusion of the war, at the end of 1918, the combined figure had reached 1426.

THE FOUR CITIES.

The figures for the four large centres of the Dominion —Auckland, Wellington, Christchurch, and Dunedin—all starting from the index number 1000 in July 1914 showed very substantial increases in February 1929, though they did not reach the high levels touched in 1919 and 1920, the two years'following upon the conclusion of the war. The average level of prices at the beginning of 4he present year was 1600 in Auckland, 1773 in Wellington, 1596 in Christchurch, and 1540 in Dunedin. Bent was the highest factor in each oif these centres. Compared with the index number in 1914 (1000) Auckland showed an increase of 84.6 per . cent.,' Wellington 145.8 per cent , Christchurch 90.7 per cent., ;and Dunedin 71.5 per cent. It "is rent* of course, that makes Wellington the most costly - place of residence in the Dominion. In the three food groups —groceries, dairy produce, and meat—it compares favourably with the 'other centres. Dunedin’s current figure in these groups is-1490; Auckland’s 1480; Wellington’s-1463 and Christchurch s 1450, comparisons which the Labour members otf the Christchurch City Council may be trusted to exploit to the fullest advantage in the interest of the municipal markets.

SMALLER CENTRES.

Dealing With some of the smaller towns in the same way as he has dealt with the larger ones the Government Statistician shows that, so far as the three food groups are concerned, it is no cheaper to live in the rural centres than in the urban centres. In the urban centres Wellington in February last showed an increase of 44.5 per cent., upon the prices ruling in July 1914, 'Auckland an increase of 45.3 per cent., Christchurch an increase of 48.0 per cent., and Dunedin an increase of 53.9 per cent. Among the rural centres Taihape showed an increase of only 37.4 per cent., Greymouth 38.3 per cent., Napier 40.2 per cent., Alexander ,42 per cent., and Oamaru 42.3 per cent. But against these comparatively moderate increases there are on the list many substantial ones. The Blenheim figure has increased by 61.2 per cent., the Palmerston North by 58.4 per cent., the Masterton by 58.1 per cent., the Wanganui by 54.9 per cent., the Whangarei by 54.9 per cent., the Gisborne by 54.2 per cent., and the Waihi by 52.2 per cent. Obviously in this respect the rural districts are faring ho better than the urban. POWER OF MONEY. In another table in the current issue of the Abstract of Statistics, which probably will bring the whole matter of prices to the closer understanding of the average observer, the Government Statistician shows how the sovereign of 1914 has declined in purchasing power to-day. In the groceries group it now represents only 11s lid; in the dairy produce group, only 14s 9d, in the meat group only 14s 6d. In the rent group it is worth 10s fid; in the fuel and light group 11s 3d; in the clothing and footwear group 13s lOd and in the miscellaneous group 12s 2d. Taking the whole of these groups into account the purchasing power' of the sovereign had fallen between December 1927 and December 1928 from 12s 5d to 12s 4d a decline of one penny. It is a popular that the increase in the cost of living began with the outbreak of the war and started to decline with the termination off hostilities; but as a matter of fact peak prices were not reached until two or three years after the conclusion of the war, and to-day the cost of hvmg m New Zealand is substantially higher than it was when the nations laid down their arms more than ten years ago.