ONS to launch new inflation index

The Office for National Statistics is to launch a new inflation index that will include owner occupiers’ housing costs, to be initially known as CPIH.

According to the ONS, the new index will measure owner occupier housing costs, using a change in rental prices to measure the costs of owning, living in and maintaining a property.

The CPIH index will be introduced in March 2013 at the same time as the review of the CPI and RPI basket of goods review.

A consultation on the recommendation of the introduction of owner occupiers’ housing costs was launched in June, closing at the end of August.

The government’s statistics body will release its full response in November.