Food, pints and insurance costs surge as inflation hits Irish households

Many of the staples bought by most households all rose in price last year, some of them by a significant margin. File picture

Food, clothes, health insurance, a cup of coffee, and the price of a pint — all of them are getting more expensive and in some cases, surging at double or triple the rate of general price inflation in the economy, new figures have revealed.

In its Consumer Price Index, giving full figures for 2025, the CSO confirmed that overall prices in the economy rose by 2.8% in the last 12 months.

The cost of the weekly shop is still rising, with the price of food and non-alcoholic drinks up 4.1%.

Many of the staples bought by most households all rose in price last year, some of them by a significant margin.

“There were price increases in the 12 months to December 2025 for Irish cheddar per kg (up 68c), a pound of butter (54c), 2 litres of full fat milk (up 6c), and an 800g loaf of white sliced pan (up 5c),” CSO statistician Anthony Dawson said.

As a whole, the price of beef and veal rose 22.4% in 2025, with pork up 14.2%, lamb up 18.9%, eggs up 5.4%, butter up 8.2%, chocolate up 12.3% and coffee up 10.8%.

Also leading the inflationary charge was the cost of buying clothes (up 6.2%), third-level education (up 10.6%), and health insurance (up 8.3%).

Electricity bills, meanwhile, rose 4.7% last year as consumers still face much higher prices now when compared to before the war in Ukraine.

The average cost of a pint of stout in Ireland was €6.09 last month, up from €5.82 a year prior, and consumers can expect this to rise in the coming weeks after Guinness owner Diageo announced yet another price increase.

The increase to draught products sold by Diageo will likely translate to at least a 20c increase to the price of a pint.

Guinness owner Diageo has announced yet another price increase. File picture

During Leaders’ Questions in the Dáil, Labour TD Duncan Smith said the Government was not protecting the most vulnerable from the surging cost of living and these price hikes are “hitting people really hard”.

“It has got no answers for increased grocery prices,” he said. 

“It has no answers for increased insurance costs. It has no answers for increased utility bills.

Motor insurance premiums are up 4.7%. File picture

“When is the Government going to step up and provide direct supports for those working people, those vulnerable people, who need them?” 

In response, enterprise minister Peter Burke pointed to measures taken in Budget 2026 to support vulnerable families, including increasing the child support payment and expanding the fuel allowance.

“This is a very important area which is very much to the forefront in the mindset of the Government, namely, the cost of living and how vulnerable families grapple with the weekly shop and the price of groceries,” he said.

Health insurance has surged and travel insurance has also risen (up 4.7%), but the cost of house insurance fell slightly last year by 0.6%, according to the CSO, while car insurance rose 1.4%.

“The continued uptick in motor insurance costs is a worry as it is putting many families and young people under severe pressure,” Geraldine Kelly, head of personal lines at brokers Gallagher, said.

“Many people are already squeezed financially this month after the festive spending of recent weeks.

“Home repair costs also continue to rise, with the cost of services for the maintenance and repair of homes up 3% annually. 

"Given the increased ferocity of storms, homeowners simply cannot afford to be without home insurance — or to be underinsured. 

"If your home is underinsured, you could end up paying a significant portion of the repair costs out of your own pocket.”