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Inflation
Consumer price index: what developments in February?
Publié le 11 mars 2025 - Directorate for Legal and Administrative Information (Prime Minister)
For the first time since February 2021, the consumer price index shows an annual increase of less than 1% according to INSEE. What is the Consumer Price Index (CPI)? What is it for? Service-Public.fr take stock.
In February 2025, consumer prices increased by 0.8% over one year. For the first time since February 2021, the consumer price index (CPI) is below 1%.
The CPI is calculated each month by the National Institute of Statistics and Economic Studies (INSEE) to measure the general evolution of the prices of goods and services consumed by the French. Official Journal. It allows you to adapt your consumption to better control your spending and purchasing power.
It is a measure of inflation; it allowsto assess the average change in the prices of products consumed by households, at constant quality.
The goods and services concerned
The CPI is calculated on the basis of the observation of prices of a basket of fixed goods and services from different sources:
- the collection by field investigators of prices for all products consumed by households throughout France and in all forms of outlets;
- price records on tariffs, internet prices, administrative data, etc. ;
- cash register data collected by retail stores at the time the consumer goes to the cash register (since January 2020). These data relate to industrial, maintenance, hygiene and beauty food products sold in supermarkets and hypermarkets.
Some goods and services are not included because the price development is difficult to observe or because they are included in other indices (e.g. sales of used vehicles between private individuals, antique furniture, antique works of art and carpets acquired mainly for investment purposes, private hospital services, etc.).
FYI
The non-tobacco CPI is used to index many private contracts, maintenance payments, pensions or to be upgraded the Smic in 3 categories: "All households - non-tobacco", "Urban households headed by workers or employees - non-tobacco", "Households in the first quintile of the distribution of living standards - non-tobacco".
How is the CPI calculated?
Insee calculates the price evolution between 2 periods for each series of goods. The weight of each product in the basket is then weighted according to the average consumption of the French in order to obtain an average change in the price of this basket.
Thus, to calculate the index at 1er january, divide the price of the basket at that date by the price of the basket at 1er January of the previous year, then multiply that result by the benchmark set at 100. To obtain the percentage change between the two dates, it is sufficient to subtract 100 from the new index.
In order to allow you to refine this calculation, which will better reflect your lifestyle or consumption, INSEE has created a customized price index simulator where you can choose the weights of 21 groups of products and services (food, rent, health, water, electricity ...) according to your consumption habits.
Warning
The consumer price index is not a cost of living index. It measures the effects of changes on the purchase price of goods consumed by households, while the cost of living index measures changes in purchase costs to maintain the standard of living of households at a specified level.
Additional topics
National Institute of Statistics and Economic Studies (INSEE)
National Institute of Statistics and Economic Studies (INSEE)
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