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A revised Consumer Price Index in 2016 Jan Walschots February 2016 Paper

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CBS | 2014 Working Paper 1

A revised Consumer Price Index in 2016

Jan Walschots February 2016

Paper

CBS | A revised Consumer Price Index in 2016 2

Contents

1. Introduction 3

2. Recommendations on the use of CPI series for indexation purposes 3

3. Motivation for the changes 4

4. The 2016 revisions 54.1 Reference year 2015=100 64.2 Introduction of ECOICOP 64.3 Publication in practice 74.4 Insurance services 84.5 Institutional population 9

5. Differences between CPI and HICP 105.1 Target population 105.2 Coverage 115.3 Price definition 115.4 Classification 125.5 Revision strategy 12

6. Contributions to and impacts on inflation 13

7. Annex: Differences between the old CPI-classification and ECOICOP 14

CBS | A revised Consumer Price Index in 2016 3

1. Introduction

In 2016 there will be some changes in the calculation and publication of the Consumer Price Index (CPI) and the European Harmonised Index of Consumer prices (HICP).Three things will change:

− The most visible change is a re-referencing of the CPI from 2006=100 to 2015=100. HICP will be re-referenced from 2005=100 to 2015=100,

− A new classification of goods and services at the lowest level is important for users of detailed index data.

− There are some changes in the CPI methods, in particular in the treatment of insurances and the treatment of consumption expenditures by institutional households.

In chapter 2 we will describe which CPI results will be published each month from 2016 and which new figures on earlier years will become available. Results that were published earlier on the basis of 2006=100 will remain available, but will not be supplemented with new data.Also an advice is given on the use of the old and new series for indexation purposes.

In chapter 3 we describe the considerations for the methodological changes. An important aspect is the wish to correspond with international definitions and methods of the HICP. Some of the differences between CPI and HICP have disappeared in 2016. We will also indicate why the CPI will not yet be fully made in line with the international definitions.

In chapter 4 the methodological changes will be further elaborated and explained. After that in chapter 5 the remaining differences between CPI and HICP will be summarized.

In chapter 6 some new publication tables on contributions to inflation and impacts on inflation will be explained.

In an annex the old and new classifications of goods and services in the CPI will be compared.

2. Recommendations on the use of CPI series for indexation purposes

CPI data are often used for the purpose of indexation of contracts or adjustments of tariffs. In this chapter CBS gives recommendations on the use of the different available index series.

The new CPI series on the basis 2015=100 is available from February 2016. The previous series 2006=100 will be stopped as of the reporting month December 2015, but the results will remain available to users.

CBS | A revised Consumer Price Index in 2016 4

In some cases the 2015=100 series may give results on index development that differ from the results that were published earlier on the basis of 2006=100.

If regulations or contracts indicate that tariffs or prices be indexed using the consumer price index, CBS recommends using the CPI-series and not the HICP, unless the use of the European harmonised HICP was mentioned explicitly in the regulation or contract.

When a choice must be made on the use of the new or the old series CBS recommends the following:

− If a contract must be adjusted on the basis of CPI developments over a period ending in the year 2015 or earlier, the use of price developments as calculated in the 2006=100 series is recommended.

− If a contract must be adjusted on the basis of CPI developments over a period ending in the January 2016 or later, the use of price developments as calculated in the 2015=100 series is recommended.

Example: − A contract is adjusted on the basis of price developments according to the CPI between

October 2014 and October 2015. You are recommended to use the result from the 2006=100 series.

− A contract is adjusted on the basis of price developments according to the CPI between the years 2014 and 2015. You are recommended to use the result from the 2006=100 series.

− A contract is adjusted on the basis of price developments according to the CPI between May 2015 and May 2016. You are recommended to use the result from the 2015=100 series.

− A contract is adjusted on the basis of price developments according to the CPI between May 2013 and May 2016. You are recommended to use the result from the 2015=100 series.

3. Motivation for the changes

The methods used in the 2015=100 series are slightly different from those used in the 2006=100 series. These differences will be discussed in chapter 4. The desire to meet international definitions and methods and some changes in the HICP are the main motivations to introduce these changes in the CPI.

The CPI measures the price development of private households’ expenditures. The CPI is an important and most frequently used measure of inflation in the Netherlands. It has many uses, like for making social policies, for monetary policies, for the calculation of purchasing power developments and for the indexation of contracts and tariffs.

The CPI makes use of national definitions. Next to the CPI the HICP is produced since 1996. The HICP is made according to European regulations and using harmonised definitions in all

CBS | A revised Consumer Price Index in 2016 5

member states of the European Union. For the European Central Bank (ECB) the HICP is the core measure of inflation in the Economic and Monetary Union (EMU). In the years since 1996 the HICP developed steadily, both with respect to the harmonization of used methods and with respect to output. New developments for the HICP usually are also applied in the CPI.

A major difference until now is that the HICP is produced at a less detailed level than the CPI. This will change with the introduction of a more detailed classification of goods and services for household consumption in the HICP (ECOICOP). ECOICOP will be introduced in the HICP of the member states and for European total HICP in the course of 2016 and 2017. The Netherlands introduces ECOICOP with the publication of the January 2016 HICP results.

At the time of introduction of ECOICOP in the HICP, more or less the same classification will be introduced in the national CPI. This will increase the level of detail for the CPI, it will give better international comparability and it enhances the efficiency of the production process. Some differences will remain because the coverage of CPI and HICP are different. We refer to section 5.4.

In general CBS policy is to use international definitions and methodology also for national statistics. CBS will deviate only from international definitions if there are good reasons to do so. CBS has considered the possibility to bring the CPI fully into line with the HICP, but decided not to do so in 2016. The main reason is that the treatment of owner occupied housing in the HICP is still under international discussion. Until now no generally accepted method was determined for inclusion of the price of living in the households own house in the HICP, and therefore this part of consumption was excluded from the coverage of the HICP. Owner occupied housing is included in the national CPI using a rental equivalence method. By now Eurostat and the member states have developed a separate index for the price of owner occupied housing. First results were sent to Eurostat and these are now being analysed. In 2018 at the latest Eurostat will report on the usefulness of this index for the HICP. CBS expects that after then a final decision will be taken on whether to include owner occupied housing in the HICP. Awaiting this decision CBS has investigated which of the actual differences between CPI and HICP may disappear already by 2016. The choices will be elaborated in the next chapter.

4. The 2016 revisions

In 2016 the following revisions will be performed in the HICP and CPI: − The reference years 2005=100 for the HICP and 2006=100 for the CPI will be set at 2015=100, − The classification of consumption expenditures COICOP-HICP will be replaced by the more

detailed ECOICOP, − The actual classification of consumer expenditures in the CPI will be replaced by a new

one, which equals ECOICOP to the extent possible, − The treatment of insurance services in CPI will be made equal to the HICP treatment, − Private expenditures by members of institutional households will be included in the

coverage of the CPI. They are already covered by the HICP.In the next sections these revisions will be elaborated.

CBS | A revised Consumer Price Index in 2016 6

4.1 Reference year 2015=100

The reference year for all indices will be set at 2015=100 and all index series will be rescaled to 2015=100. This is a matter of calculus: the outcomes of all existing series will be multiplied by 100 and divided by the average index value in 2015.The other revisions, especially the introduction of ECOICOP may lead to a number of practical complications. Outcomes for years before 2015 will be recalculated using the new classification as far as possible to make long time series available.

In the past the index reference year usually equalled the year for which the consumption basket and weights had been determined. Starting from 2006 the consumption basket and weights are determined annually in the basis of estimated consumption levels in the preceding year. Using a chaining mechanism short series covering 13 months are linked together in order to construct long series. The index reference year indicates the year for which the index equals 100. This means that price indices in 2014 are based on the estimated consumption basket in 2013, but prices are compared with a price level in the year 2006, which is set at 100. From 2016 onwards all index series will be compared with the 2015 average price levels.

The most important aim of index numbers is to compare two index numbers in different periods and measure the price change in the intermediate period. As both index numbers have been rescaled by the same factor there should be no impact on monthly or annual inflation rates. As published index numbers are rounded at two decimal places there are cases where the rescaling leads to a small change of the calculated rates.

However, ‘official’ inflation figures concerning 2015 and earlier years are not revised. The ‘official’ series is always based on the index series that is in use at the time of first publication concerning a certain reporting period. Inflation figures on 2015 and a number of earlier years will remain to be based on the 2006=100 series.

At the introduction of ECOICOP both CPI and HICP will be re-referenced to 2015=100.

4.2 Introduction of ECOICOP

Consumer price index numbers are based all over the world on a classification of goods and services adopted by the United Nations: Classification of Individual Consumption by Purpose (COICOP-UN). COICOP-UN has a 4-digits level subdivision. Many countries have in the past created a further subdivision of COICOP-UN for national use. These national classifications are almost all different, and the more detailed results are therefore difficult to compare across countries.

The HICP is classified according to COICOP-HICP. This is a version of COICOP-UN adjusted to the needs of the HICP and it also has four digits. The Dutch national CPI 2006=100 makes use of an adjusted and more detailed 5-digits classification, based on COICOP-UN.

CBS | A revised Consumer Price Index in 2016 7

In 2016 ECOICOP will be introduced (European Classification of Individual Consumption by Purpose), which has a 5-digits subdivision. ECOICOP differs from COICOP-HICP only by the further 5th digit level of detail. At 4-digits level COICOP-HICP will not change. The new classification is presented and described on the CBS website.1)

ECOICOP will also be introduced as much as possible in the CPI. The 5th digit classification that is in use in the 2006=100 series will be terminated. Annex 1 contains an overview of the differences between the old 5th digit classification and the new ECOICOP as applied in the CPI.

As the coverage of the CPI is slightly different from the coverage of the HICP differences remain between the HICP and CPI publications. The major differences are the inclusion of consumption related taxes and of consumption abroad.

Consumption related taxes and Government services were included in the CPI under code 130000. The borderline between what is considered Consumption related taxes and what is considered Government services in the CPI will be brought in line with the distinction in the HICP.Government services are included in the HICP and classified according to COCIOP-HICP. Starting from the 2015=100 series Government services will be coded in the CPI according to ECOICOP. It concerns the following services:

− Sewage collection will go to COICOP 044300 − Refuse collection will go to COICOP 044200 − Local government administrative fees will go to COICOP 127010 − University and school fees will go to COICOP 104000 and 102000 respectively.

Consumption related taxes are not covered by the HICP. They will continue to be represented in the CPI in a downsized group 130000. This concerns:

− Pollution tax − Road tax − Dog license fee

Consumption abroad is within the coverage of CPI but not of HICP. It is included under code 140000, like it was in the 2006=100 series.

4.3 Publication in practice

At the start of the 2015=100 series CPI results using the new methods are published from the reporting month January 2015. Also back data were calculated for the years 2010–2014 using the new ECOICOP classification. When making the back data calculations for earlier years than 2015, the other methodological changes cannot be taken into account.

The HICP was re-referenced to 2015=100. HICP results for the Netherlands according to ECOICOP are from now on available on the CBS-website. HICP results according to ECOICOP for other EU-member states and for the EMU and EU totals will be published in the near future by the member states and by Eurostat.

1) http://www.cbs.nl/NR/rdonlyres/E8F6CC1A-1080-4448-B146-9DD3DC4466DB/0/2015EP34ECOICOP.pdf Also see: http://ec.europa.eu/eurostat/ramon/nomenclatures/index.cfm?TargetUrl=LST_CLS_DLD&StrNom=COICOP_5&StrLanguageCode=EN&StrLayoutCode=HIERARCHIC

CBS | A revised Consumer Price Index in 2016 8

Dutch HICP 2015=100 results for the first time contain results for Heat energy (ECOICOP 045500). Expenditures on heat energy were until now represented in the weight for Gas (ECOICOP 045200). Also for the first time separate indices are published for ECOICOP 091220 (Accessories for photographic and cinematographic equipment) and for ECOICOP 092300 (Maintenance and repair of other major durables for recreation and culture).

In practice not all (sub)groups indices of ECOICOP will be calculated and published. A (sub)group will not be published if the expenditures in the Netherlands are very low and therefore weight would be low. An ECOICOP (sub)group also will neither be published if the expenditures are outside the scope of the index (e.g. expenditures on hospital care are almost fully covered by the basic health insurance).

4.4 Insurance services

Until now the treatment of insurance services in the CPI differs from the treatment in the HICP. In the 2006=100 CPI series the full insurance premium is considered to be consumption expenditures and included in COICOP 125000.If the consumer suffers a loss that is covered by an insurance policy, then goods and services in kind that the insurance company provides are not considered to be part of household consumption expenditures. Also if the insurance company compensates the consumer in cash and the consumer buys a replacement good, these expenditures are not covered by the CPI. The level of the insurance premiums determines the weights and the development of the premium levels determines the index.

In the HICP another approach is being used. The insurance premiums paid by consumers are partially given back to consumers as compensation in cash or in kind if the consumer suffers a loss. If the consumer suffers a loss that is covered by insurance, then the goods and services that the insurance company provides in kind is considered to be monetary expenditures by consumers. Also if the insurance company pays for damages in cash and the consumer buys a replacement product, then these expenditures are included in household final monetary consumption expenditures in the HICP.Part of the insurance premiums does not flow back to the consumers, but serves the payment of the operating costs of the insurance company. This part of the insurance premium is considered to be the service part of the premium.

In the HICP the weight for insurance services is determined by the balance between premiums paid and damages received. As there is no separate price for the insurance service part the index is based on the development of gross insurance premiums.

Example: The treatment of insured car damages

Suppose that: − Consumers pay an amount of 100 million euros for car damage insurance premiums. − Insurance companies pay 60 million euros to car repair companies or directly to consumers

because of car damages, and − The insurance companies spend the remaining 40 million euros for its own operation:

personnel, office costs and etcetera.

CBS | A revised Consumer Price Index in 2016 9

Then in the CPI 2006=100 series: − The weight for insurance services is based on 100 million euros − The weight for car repairs does not incorporate the spending of 60 million euros that is

paid directly by the insurance company or through the consumer for car repairs.Then in the CPI 2015 = 100 series and in the HICP:

− The weight for insurance services is based on 40 million euros − The weight for car repairs increases due to the 60 million euros paid on car repairs by the

insurance companies.

Starting from the 2015=100 series in the CPI the same method will be used as in the HICP. In practice this will lead to lower weights in the CPI for insurance services and higher weights for goods and services that are frequently covered by insurance, like car repairs or medical care that is covered by private additional insurance policies.

Social insurances, such as legal insurance against unemployment and labour disability, and the base insurance for health care, are not included in the coverage of the CPI and HICP. Premiums for social insurance are considered a negative income part when determining disposable income, but are not considered consumption. Also financial insurances, like life insurance are covered neither in CPI nor in HICP. This was already the case in the old series and it will remain unchanged after 2015.

4.5 Institutional population

The Dutch population living in institutional households is not included in the data collection of part of the CBS statistics. In the Household budget survey (HBS) and in Income statistics this part of the Dutch population is excluded.As the weighting scheme of the CPI was based on the HBS until the year 2000 and because the CPI aims to link with Income statistics for the sake of the calculation of purchasing power developments the CPI was also based on the consumption of the population excluding the institutional population.HICP regulations say that the European index concerns the consumption expenditures of all population. Therefore from 1996 an estimate was made of the consumption of the institutional population. This estimate was added to the HBS results to get a figure for the total population consumption level in the Netherlands.

As of the start of the 2000=100 series the starting point for the calculation of the weights of the CPI shifted from the HBS to the household consumption according to National Accounts. In National Accounts consumption is estimated for the full population. From that year on the estimate of the consumption of the institutional population was deducted from the outcome of National Accounts consumption in order to keep the best link with Income statistics. Starting from the 2015=100 series this estimate and deduction will partially be stopped.

Social protection that is provided to the institutional population by government through social insurance or social securities is not part of the coverage of the HICP. It is only the own contributions that people living in the institutions have to pay, that are included in the HICP. The own contributions provide for the housing, food, care and etcetera that people living in the institutions receive. These own contributions may constitute a very large part of consumption expenditures of this population group.

CBS | A revised Consumer Price Index in 2016 10

The HICP includes all consumption expenditures of people living in institutional households. The own contributions are included in COICOP group 124000 “Social protection”. The rest of their consumption is included in the other relevant COICOP groups.

In the CPI series as of the 2015=100 own contributions will remain out of scope, but consumption in all other COICOP groups by the institutional population will be included in the CPI coverage. The separate estimate of this part of consumption is no longer needed. This methodological change will have hardly any impact on headline CPI results.

Own contributions of people living in institutional households will not yet be included in the CPI 2015=100 series. This may happen in the future through a new methods revision, if it is then decided to fully follow the international HICP definitions. Meanwhile CBS will further investigate the problems of the link with income statistics and the calculation of purchasing power developments.

5. Differences between CPI and HICP

CPI and HICP are different in certain aspects. This chapter will in short summarize the differences. They can be subdivided into four themes:

− Target population; which consumers and which transactions are included in the index, − Coverage; which consumption expenditures are included, − Price definition; how are some prices defined, − Classification

5.1 Target population

This theme covers two subjects: − The CPI uses a national concept, whereas the HICP uses a domestic concept, − Consumption by institutional households

The national concept of the CPI implies that all expenditures of consumers living in the Netherlands are included, regardless of whether these expenditures are in the Netherlands or abroad.The domestic concept of the HICP implies that expenditures abroad of consumers living in the Netherlands are excluded from the HICP, but that expenditures of foreign visitors on Dutch territory are included.

Expenditures by people living in institutional households are included in the HICP. In the 2006=100 series these expenditures are excluded from the CPI. Starting from the 2015=100 series expenditures by people living in institutional households are included excluding the own contributions that these people pay for living in the institution (see section 4.5).

CBS | A revised Consumer Price Index in 2016 11

5.2 Coverage

Three groups of goods and services are included in the CPI but excluded from the HICP: − Imputed rentals for housing − Contributions − Consumption related taxes

For households renting a house, the rents payments are included in CPI and HICP. For households living in a house of their own imputed rentals for housing is included in the CPI2) and the developments of imputed rentals contribute to the CPI results. Owner occupied housing expenditures are excluded from the HICP.

The HICP does not consider subscriptions or contributions for recreational and sports clubs, labour unions and other NPISHs to be consumption expenditures but to be transfers. Also taxes are out of the scope of the HICP. Government services are included (see section 4.2).

On the other hand, own contributions paid for living in an institutional household are included in the HICP, but excluded from the CPI (see section 4.5)

5.3 Price definition

For some product categories price definitions in HICP and CPI differ. The differences between the treatments of insurance services were described in section 4.4 and these will disappear from the start of the 2015=100 series.

There are also differences in the treatment of parents’ contributions for child care. In the CPI the gross price for child care is observed. As a consequence the weight for child care is high. In the HICP only the parents’ own contributions are included. Contributions that the Government pays to the parents are deducted from the gross price. Therefore also the weights for child care are lower.

Finally changes in own contributions for health care that is covered in the base health insurance are treated differently. If a certain element of health care is taken out of the coverage of the base policy and the consumer has to pay for that care himself, this is reflected in the CPI only by an increase of the weight for health care. Likewise a change whereby previously uninsured health care is taken up in the base policy also does not lead to a decrease of the CPI.

In the HICP changes in the basic insurance policy are treated as price changes. A change whereby insured health care from a certain point in time is no longer covered by basic health insurance and for which the consumer must pay an own contribution is treated as a price increase from zero to the new own contribution or market price. Alternatively a change whereby a part of health care that was not insured is brought under the coverage of the basic health insurance is treated in the HICP as a price decrease from the existing price or own contribution to zero.

2) The method is described in document: http://www.cbs.nl/NR/rdonlyres/ED6F8D30-F363-4411-8942-979CF94ACEC9/0/2013HuurwaardeCPI.pdf (only available in Dutch)

CBS | A revised Consumer Price Index in 2016 12

5.4 Classification

In the 2006=100 series there were several differences between the COICOP classifications that were used in CPI and in HICP. From the 2015=100 series the classification are set equal to the extent possible. See also section 4.2.Remaining differences all have to do with product groups that are out of the scope of one of the two series.

Included in the CPI, but not included in the HICP are: − COICOP 042100 Imputed rentals for housing, − COICOP 130000 Consumption related taxes, − COICOP 140000 Consumption abroad.

Included in the HICP, but not in the CPI are: − COICOP 124020 Retirement homes for elderly persons and residences for disabled

persons.

5.5 Revision strategy

CPI and HICP results are published shortly after the reporting month. Sometimes results must be revised on the basis of new information becoming available. In these cases revised figures will be labelled as final or revised. For more information on this subject we refer to:http://www.cbs.nl/nl-NL/menu/themas/prijzen/methoden/dataverzameling/overige-dataverzameling/2012-cbs-wijzigt-publicatiestrategie-hicp-pub.htm (only available in Dutch).

Sometimes if statistical methods are changed, results before and after the methodological change are not fully comparable. Particularly if the seasonal patterns of some of the outcomes are changing this may have significant consequences.

In the HICP methodological changes are generally introduced by December of a certain year, and price developments between December and January are the first to be calculated using the new method. The calculation of the year-on-year change of the indices is based on two methods during a 12 months period. Occasionally a member state may choose to recalculate the outcomes in the latest year using the new method and to revise the HICP series of 12 months. New inflation figures in future months will then be calculated on the basis of index numbers that were all calculated using the same method. However the revised index numbers of the past year are no longer fully comparable with index numbers of two years ago.

If this is the case in the CPI a different method is used. For (at least) one year two index series will remain available that allow the calculation of annual rates on the basis of index numbers that were always compiled using identical methodology.More specifically this means that the 2006=100 CPI series will remain available with 2015 results that are fully comparable with 2014. In the 2015=100 series results for 2015 were recalculated using the new methodology that is also used for 2016. More information on this subject can be found in:http://www.cbs.nl/NR/rdonlyres/802FBCF9-4491-426D-8F3A-F539ABEEAA5F/0/Observationcpiairlineticketsrev.pdf

CBS | A revised Consumer Price Index in 2016 13

6. Contributions to and impacts on inflation

As of 2016 CBS will publish a new table in the StatLine database presenting the contribution of product groups to inflation and impacts on inflation. In this chapter we will shortly describe what these figures represent.

The CPI measures the average price development of all goods and services that consumers buy. Each product group has some influence on the overall outcome. Product groups with a large weight have bigger influence than those with a small weight. An article group’s influence on average price developments can be looked at in two ways:

− The price development of each product group contributes to the fact that the expenditure on the total consumption basket changes. The article group’s expenditure change contributes to the total expenditure change. This is represented by the ‘contribution’,

− Article groups that have a price increase above average inflation push the average a bit up, while articles with a below average price increase pull the average down. These accelerating and decelerating influences of an article group are called the ‘impacts’.

The contributions of all product groups together measure the price increase of the total consumption basket. In other words, all product groups’ contributions add up to headline inflation. In this case each product group with prices going up has a positive contribution and each product group that becomes cheaper has a negative contribution to inflation. The contribution of a product group to inflation depends on its price change and its weight, but does not depend on the price development of other product groups. Contributions were already calculated in the 2006=100 CPI series.

The impact of a product group on inflation is determined by calculating what inflation would be if the product group were fully removed from the inflation calculation. This result is deducted from headline inflation to determine the impact. The impacts of all product groups do not add up to some interpretable figure, but since there are always positive and negative impacts, the sum will be close to zero. The impact of a product group depends on its weight and on the price development of the article group, but also on the price developments of all other groups. Eurostat has calculated impacts for years, and uses them in the HICP news releases.

The calculus to determine contributions and impacts is described in a methodological article.3)

3) http://www.cbs.nl/en-GB/menu/themas/prijzen/methoden/dataverzameling/overige-dataverzameling/contribution-and-impact.htm

CBS | A revised Consumer Price Index in 2016 14

7. Annex: Differences between the old CPI-classification and ECOICOP

A full description of the new ECOICOP-classification can be found in the report ECOICOP indeling CPI/HICP .

For the HICP ECOICOP is no more than a further subdivision at 5-digit level of the COICOP-HICP classification used so far. At the level of divisions (2-digits), groups (3-digits) and classes (4-digits) existing series will be continued.

For the CPI ECOICOP will replace at the lowest level a 5-digits classification that was used for the national CPI only. It was a bit less detailed than ECOICOP.Furthermore in the CPI Government services are no longer classified in COICOP Division 130000, but they are classified in the same classes as in the HICP. Consumption related taxes and consumption abroad are classified in CPI in divisions 130000 and 140000 like in the past.

In this annex the differences between the old and new classifications are presented at the most detailed level.The following table shows how the most detailed classification of goods and service that was used in CPI 2006=100 compares to the new ECOICOP classification in the 2015=100 series.The left hand columns are ordered according to the old classification, the right hand columns are ordered according to ECOICOP.

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

HOW TO READ THE TABLE010000 Food and non-alcoholic beveragesECOICOP Divisions

094150 Admission fees amusement parks 094110 126000 126210 Charges by banks and post offices

All articles of the old group 094150 were transferred to ECOICOP 094110

All articles in ECOICOP group 126210 were transferred from the old group 126000

132200 Tuition fees 102000

104000

Articles of the old group 132200 were transferred to two ECOICOP groups 102000 and 104000

111110 111110 Restaurants, cafés and dancing.

111130

Articles in ECOICOP group 111110 were transferred from two old groups 111110 and 111130

The equal (=) sign =

131500 Road tax 132000 = 131500 132000 Road tax

The old group and the new ECOICOP group are identical, but they may have a different coding

CBS | A revised Consumer Price Index in 2016 15

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

The arrow up and arrow down ↘ and ↗

072210 Petrol 072220 ↘ 072220 072210 Diesel

072220 Diesel 072210 ↗ 072210 072220 Petrol

Attention: coding for Petrol and Diesel have interchanged

131300 Levies on refuse collection 044200

(Part of) the products from old group 131300 were transferred to a different ECOICOP division (044200)

132100 127010 Administrative fees

(Part of) ECOICOP group 127010 was transferred from a different COICOP division in the old classification (132100)

010000 Food and non-alcoholic beverages 10000 Food and non-alcoholic beverages

011110 Rice 011110 = 011110 011110 Rice

011120 Wheat flour 011120 = 011120 011120 Flours and other cereals

011130 Bread and rusks 011130 011130 011130 Bread

011140 011130 011140 Other bakery products

011180 011140

011140 (Salt) biscuits, pastry 011140 011940 011150 Pizza and quiche

011150 Pasta 011160 = 011150 011160 Pasta products and couscous

011160 Instant (breakfast) cereals 011170 = 011160 011170 Breakfast cereals

011130 011180 Other cereal products

011210 Beef 011210 = 011210 011210 Beef and veal

011230 Pork 011220 = 011230 011220 Pork

011260 011230 Lamb and goat

011240 Poultry 011240 = 011240 011240 Poultry

011250 Meat products and meat dishes 011270 011260 011250 Other meats

011260 Other meat 011270 011250 011270 Dried, salted or smoked meat

011280 011260

011230 011260 011280 Other meat preparations

011250

011310 Fresh and frozen fish 011310 = 011310 011310 Fresh or chilled fish

011320 Crustaceans and shellfish 011330 = 011320 011330 Fresh or chilled seafood

011330 Non-perishable fish 011350 011330 011350 Dried, smoked or salted fish.

011360 011330 011360 Preserved or processed fish.

011410 Milk 011410 011410 011410 Milk, whole, fresh

011420 011410 011420 Milk, low fat, fresh

011430 011410 011430 Milk, preserved

011420 Yoghurt, cream, desserts, etc, 011440 011420 011440 Yoghurt

011460

011430 Cheese 011450 = 011430 011450 Cheese and curd

011420 011460 Other milk products

011440 Eggs 011470 = 011440 011470 Eggs

011510 Butter 011510 = 011510 011510 Butter

011520 Margarine, etc. 011520 = 011520 011520 Margarine and vegetable fats

011530 Edible oils 011530 011530 011530 Olive oil

011540 011530 011540 Other edible oils

011610 Fresh fruit 011610 = 011610 011610 Fresh or chilled fruit

011620 Dried fruit and nuts 011630 = 011620 011630 Dried fruit and nuts

011630 Fruit in syrup and fruit puree 011640 = 011630 011640 Preserved fruit-(based) products

011710 Fresh vegetables 011710 = 011710 011710 Fresh or chilled vegetables.

011720 Frozen and other vegetables 011720 011720 011720 Frozen vegetables.

011730 011720 011730 Dried vegetables.

 (continued)

CBS | A revised Consumer Price Index in 2016 16

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

011730 Potatoes 011740 011730 011740 Potatoes

011740 Potato products 011740 011740

011750 011740 011750 Crisps

011810 Sugar 011810 011810 011810 Sugar

011860

011820 Sweet fillings 011820 = 011820 011820 Jams, marmalades and honey

011830 Chocolate 011830 = 011830 011830 Chocolate

011840 Sweets 011840 = 011840 011840 Confectionery products

011850 Ice cream 011850 = 011850 011850 Edible ices and ice cream

011810 011860 Artificial sugar substitutes

011910 Spices, etc. 011920 ↘ 011920 011910 Sauces, condiments

011920 Sauces, mayonnaise, etc. 011910 ↗ 011910 011920 Salt, spices and culinary herbs

011930 Soups and broth 011990 011960 011930 Baby food

011940 Instant food, frozen food 011940 011940 011940 Ready-made meals

011150 011950

011950 Salads, etc. 011940 011930 011990 Other food products n.e.c.

011960 Other food 011930 011960

011990

012110 Coffee and cacao 012110 012110 012110 Coffee

012130

012120 Tea 012120 = 012120 012120 Tea

012110 012130 Cocoa and powdered chocolate

012210 Mineral waters 012210 = 012210 012210 Mineral or spring waters

012220 Soft drinks 012220 = 012220 012220 Soft drinks

012230 Fruit juices, vegetable juices 012230 012230 012230 Fruit and vegetable juices

012240 Syrups 012230 012240

020000 Alcoholic beverages and tobacco 20000 Alcoholic beverages and tobacco

021100 Spirits 021110 = 021100 021110 Spirits and liqueurs

021200 Wine 021210 021200 021210 Wine from grapes

021230 021200 021230 Fortified wines

021300 Beer 021310 021300 021310 Lager beer

021320 021300 021320 Other alcoholic beer

021330 021300 021330 Low and non-alcoholic beer

022100 Cigarettes 022010 = 022100 022010 Cigarettes

022200 Rolling tobacco 022030 ↘ 022300 022020 Cigars

022300 Cigars, pipe tobacco, etc. 022020 ↗ 022200 022030 Other tobacco products

030000 Clothing and footwear 30000 Clothing and footwear

031210 Men's wear 031210 = 031210 031210 Garments for men

031220 Ladies' wear 031220 = 031220 031220 Garments for women

031230 Children's wear 031230 031230 031230 Garments for infants and children

031240 Baby clothes 031230 031240

031300 Other clothing and accessories 031310 = 031300 031310 Other articles of clothing

031400 Cleaning, repair, hire of clothing 031410 = 031400 031410 Cleaning of clothing

032110 Men's footwear 032110 032110 032110 Footwear for men

032130

032120 Ladies' footwear 032120 = 032120 032120 Footwear for women

032130 Sports shoes for adults 032110

032140 Children's and baby shoes 032130 = 032140 032130 Footwear for infants and children

 (continued)

CBS | A revised Consumer Price Index in 2016 17

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

040000 Housing, water, electricity, gas 40000 Housing, water, electricity, gas

041100 Housing rent 041100 = 041100 041100 Actual rentals paid by tenants

041200 Garage rent 041220 = 041200 041220 Garage rentals and other rentals

042000 Imputed rent value 042100 = 042000 042100 Imputed rentals owner-occupiers

043100 Products maint./ repair dwellings 043100 043100 043100 Products maint./ repair dwellings

055000

043200 Services maint./repair dwellings 043240 = 043200 043240 Services of painters

044100 Water supply 044100 = 044100 044100 Water supply

044200 Refuse collection 044200 044200 044200 Refuse collection

131300

131200 044300 Sewage collection

044400 Services rel. to dwellings n.e.c. 044410 = 044400 044410 Maint. charges multi-occ. build..

045110 Transport of electricity 045101 = 045110 045101 Transport of electricity

045120 Supply of electricity 045102 = 045120 045102 Supply of electricity

045130 Specific taxes on electricity 045103 = 045130 045103 Specific taxes on electricity

045210 Transport of gas 045211 = 045210 045211 Transport of gas

045220 Supply of gas 045212 = 045220 045212 Supply of gas

045230 Specific taxes on gas 045213 = 045230 045213 Specific taxes on gas

Not included in the old series 045500 045500 Heat energy

050000 Furnishing, household equipment 50000 Furnishing, household equipment

051110 Furniture 051110 051110 051110 Household furniture

051120 051110 051120 Garden furniture

051120 Lighting, home decoration 051130 051120 051130 Lighting equipment

051190 051120 051190 Other furniture and furnishings

054000

051200 Carpets and other floor coverings 051210 051200 051210 Carpets and rugs

051220 051200 051220 Other floor coverings

052100 Curtains, blinds, screens, etc. 052010 = 052100 052010 Furnishing fabrics and curtains

052200 Bed clothes 052020 = 052200 052020 Bed linen

052300 Household linen 052030 = 052300 052030 Table linen and bathroom linen

053110 Refrigerators and freezers 053110 = 053110 053110 Refrigerators, (fridge-) freezers

053120 Dishwashers, washing mach.,etc. 053120 = 053120 053120 (Dish-)wash- and drying machines

053130 Gas cookers, (microwave)ovens,etc. 053130 = 053130 053130 Cookers

053140 (Water) heaters, geysers etc. 053140 = 053140 053140 Heaters, air conditioners

053150 Sewing mach. vacuum cleaners, etc. 053150 = 053150 053150 Cleaning equipment

053200 Small household appliances 053210 053200 053210 Food processing appliances

053220 053200 053220 Coffee machines, tea makers etc.

053230 053200 053230 Irons

053300 Repair of household appliances 053300 = 053300 053300 Repair of household appliances

054000 Glassware, pottery, household art. 051190

054010 054000 054010 Glassware, crystal-ware.

054020 054000 054020 Cutlery, flatware and silverware

054030 054000 054030 Non-electric kitchen utensils.

055000 Tools and eq. for house and garden 043100

055110 055000 055110 Motorized major tools.

055210 055000 055210 Non-motorized small tools

055220 055000 055220 Accessories for small tools.

056110 Detergents, fabric softeners 056110 056110 056110 Cleaning and maintenance products

056120 Dishwasher detergents 056110 056120

056130 Other cleaning products, etc. 056110 056130

056140 Other non-durable articles 056120 056140 056120 Non-durable small house. articles

056200 Household services 056290 = 056200 056290 Other domestic services.

 (continued)

CBS | A revised Consumer Price Index in 2016 18

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

060000 Health 60000 Health

061100 Pharmaceutical products 061100 = 061100 061100 Pharmaceutical products

061200 Other medical products, equipment 061210 061200 061210 Pregnancy tests and contraceptive

061290 061200 061290 Other medical products n.e.c.

061310 061200 061310 Corrective eye-glasses and lenses

061320 061200 061320 Hearing aids

062100 Medical and paramedical services 062120

062390 062100 062120 Specialist practice

062200 Dental services 062200 = 062200 062200 Dental services

062100 062390 Other paramedical services

070000 Transport 70000 Transport

071110 New cars 071110 = 071110 071110 New motor cars

071120 Second-hand cars 071120 = 071120 071120 Second-hand motor cars

071200 Motorcycles, scooters, mopeds 071200 071200 071200 Motor cycles

071300 Bicycles 071200 071300

071300 071300 071300 Bicycles

072110 Spare parts and accessories cars 072120 072120 072110 Tyres

072130 072110 072120 Spare parts personal transport.

072120 Spare parts/access.mot.cyc./mopeds 072110 072120

072120 072110 072130 Accessories for pers. transport

072130 072120

091300

072210 Petrol 072220 ↘ 072220 072210 Diesel

072220 Diesel 072210 ↗ 072210 072220 Petrol

072230 LP gas 072230 = 072230 072230 LPG

072300 Maint. and repair priv. transport 072300 = 072300 072300 Maint. and rep. pers. transport

072410 Rent means of transport 072410 = 072410 072410 Hire of garages, pers. transport

072420 Parking fees, toll 072420 = 072420 072420 Toll facilities and parking meter

072430 Driving lessons, etc. 072430 072430 072430 Driving lessons, tests, licence..

072440 Motor vehicle inspections 072430 072440

132100

073100 Passenger transport by railway 073110 073100 073110 Passenger transport by train

073120 073100 073120 Passenger transport by tram.

073200 Passenger transport by road 073210 073200 073210 Passenger transport by bus.

073220 073200 073220 Passenger transport by taxi..

073300 Passenger transport by air 073320 = 073300 073320 International flights

073400 Passenger transport by waterway 073410 073400 073410 Passenger transport by sea

073420 073400 073420 Pas. transport by inland waterway

073600 Other purchased transport services 073620 = 073600 073620 Removal and storage services

080000 Communication 80000 Communication

081000 Postal services 081010 081000 081010 Letter handling services

081090 081000 081090 Other postal services

082000 Telephone equipment 082020 = 082000 082020 Mobile telephone equipment

083000 Telephone and internet services 083010 083000 083010 Wired telephone services

083020 083000 083020 Wireless telephone services

083030 083000 083030 Internet access provision.

083040 083000 083040 Bundled telecom services

094240

 (continued)

CBS | A revised Consumer Price Index in 2016 19

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

090000 Recreation and culture 90000 Recreation and culture

091110 Audio equipment 091110 091110 091110 Audio equipment.

091130

091120 Television sets, video equipment 091120 = 091120 091120 Television sets, video equipment

091110 091130 Portable sound and vision devices

091300 091190 Headsets, e-readers etc.

091200 Photo, film, optical equipment 091210 091200 091210 Cameras

Not included in the old series 091220 091220 Accessories for photo and film.

091300 Information processing equipment 072130

091190

091310 091300 091310 Personal computers

091320 091300 091320 Accessories for computers

091330 091300 091330 Software

091410 CDs 091410 091410 091410 Pre-recorded recording media

091420 Videotapes, DVDs pre-recorded 091410 091420

091440 Photography and film 091490 = 091440 091490 Other recording media

091500 Repair of equipment 091500 = 091500 091500 Repair of audio-visual equipm .

092100 Articles for outdoor recreation 092110 092100 092110 Camper vans, caravans and trailer

092130 092100 092130 Boats, outboard motors and.

092200 Articles for indoor recreation 092210 = 092200 092210 Musical instruments

094180 092300 Maint. and rep. of major durables

093100 Games, toys and hobbies 093110 093100 093110 Games and hobbies

093120 093100 093120 Toys and celebration articles

093210 093100 093210 Equipment for sport

093200 Equipm. for sport and camping site 093210 093200

093220 093200 093220 Equipment for camping and open.

093300 Gardens, plants and flowers, etc. 093310 093300 093310 Garden products

093320 093300 093320 Plants and flowers

093400 Pets and related products 093420 = 093400 093420 Products for pets

093500 Veterinary and other serv for pets 093500 = 093500 093500 Veterinary and services for pets

094110 Membership sports clubs 094130 094140 094110 Attendance of recr. and sport.

094120 Membership recreation clubs 094130 094150

094130 Music, dance, sports lessons 094120 094130 094120 Participation of recr. and sport.

094140 Admission fees stadiums, etc. 094110 094160

094150 Admission fees amusement parks 094110 094180

094160 Rent sports accommodations 094120 094110 094130 Membership sports clubs and.

094180 Other serv. recreation and sports 092300 094120

094120

094210 Adm. fees cinema, theatre, etc. 094210 = 094210 094210 Cinemas, theatres, concerts

094220 Museums, zoos 094220 094220 094220 Museums, libraries, zoos

094230 Hire of equipment for culture 094220 094230

094240 Subsc. cable TV/radio system 083040 094240 094230 Television and radio licence fees

094230

094250 Services photography and film 094250 = 094250 094250 Photographic services

095100 Books 095110 095100 095110 Fiction books

095120 095100 095120 Educational text books

095130 095100 095130 Other non-fiction books

095200 Newspapers and magazines 095210 095200 095210 Newspapers

095220 095200 095220 Magazines and periodicals

095300 Other printed matter, stationery 095300 095300 095300 Miscellaneous printed matter

095410 056140 095410 Paper products

095490 095300

095300 095490 Other stationery and drawing.

096200 Holidays abroad 096020 = 096200 096020 Package international holidays

 (continued)

CBS | A revised Consumer Price Index in 2016 20

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

100000 Education 100000 Education

100000 Education 105000 132200 102000 Secondary education

132200 104000 Tertiary education

100000 105000 Education not definable by level

110000 Hotels and restaurants 110000 Hotels and restaurants

111110 Restaurants 111110 111110 111110 Restaurants, cafés and dancing.

111130

111120 Fast food and take away services 111120 = 111120 111120 Fast food and take away food.

111130 Cafes, pubs 111110

111210 Canteens 111200 = 111210 111200 Canteens

112000 Accommodations 112010 112000 112010 Hotels, motels, inns etc.

112020 112000 112020 Holiday centres, camping sites.

120000 Miscellaneous goods and services 120000 Miscellaneous goods and services

121110 Men's and children's hairdressers 121110 = 121110 121110 Hairdressing for men and children

121120 Ladies' hairdressers 121120 = 121120 121120 Hairdressing for women

121130 Saunas, beauty parlours, etc. 121130 = 121130 121130 Personal grooming treatments

121200 Electric appliances for pers. care 121210 = 121200 121210 Electric appliance for pers. care

121310 Toilet articles 121310 121310 121310 Non-electrical appliances

121320 121310 121320 Articles for personal hygiene.

121320 Beauty prod./perfumes/deodorants 121320 121320

121330 Other articles for personal care 121320 121330

123100 Jewellery, clocks and watches 123110 123100 123110 Jewellery

123120 123100 123120 Clocks and watches

123200 Other articles for personal use 123210 123200 123210 Travel goods

123290 123200 123290 Other personal effects n.e.c.

124000 Social protection 124010 124000 124010 Child care services

124030 124000 124030 Services to maintain people in.

125200 Insurances conc. the dwelling 125200 = 125200 125200 Insurance conn. with the dwelling

125300 Insurance connected with health 125320 = 125300 125320 Private health insurance

125410 Car insurances 125410 125410 125410 Motor vehicle insurance

125420 Bicycle,mot.cyc.,motorscooter ins. 125410 125420

125430 Other insurances conc. transport 125410 125430

125420 125430 125420 Travel insurance

125500 Other insurances 125500 = 125500 125500 Other insurance

126000 Financial intermediation 126210 126000 126210 Charges by banks and post offices

126220 126000 126220 Fees of brokers, investment .

127000 Other services n.e.c. 127020 132100 127010 Administrative fees

127030 127000 127020 Legal services and accountancy

127040 127000 127030 Funeral services

127000 127040 Other fees and services

130000 Consumption related taxes and gov. serv. 130000 Consumption related taxes

131200 Sewerage charges 044300

131300 Levies on refuse collection 044200

131400 Pollution tax 131000 = 131400 131000 Pollution tax

 (continued)

CBS | A revised Consumer Price Index in 2016 21

B.1  Comparison of the CPI classification from the 2006=100 series and the classification from the 2015=100 series, based on ECOICOP

Classification used in CPI 2006=100 ECOICOP

CPI clas-sification 2006=100 ECOICOP ECOICOP name

131500 Road tax 132000 = 131500 132000 Road tax

131600 Dog licence fees 133000 = 131600 133000 Dog licence fees

132100 Municipal services 072430

127010

132200 Tuition fees 102000

104000

140000 Consumption abroad 140000 Consumption abroad

140000 Consumption abroad 141000 140000 141000 Food abroad

142000 140000 142000 Transport abroad

143000 140000 143000 Accomodation abroad

144000 140000 144000 Cafés en restaurants abroad

145000 140000 145000 Other consumption abroad

 (end)

CBS | A revised Consumer Price Index in 2016 22

Explanation of figures

Empty cell Figure not applicable . Figure is unknown, insufficiently reliable or confidential * Provisional figure ** Revised provisional figure 2015–2016 2015 to 2016 inclusive 2015/2016 Average for 2015 to 2016 inclusive 2015/’16 Crop year, financial year, school year, etc., beginning in 2015 and ending in 2016 2013/’14–2015/’16 Crop year, financial year, etc., 2013/’14 to 2015/’16 inclusive Due to rounding, some totals may not correspond to the sum of the separate figures.

PublisherStatistics NetherlandsHenri Faasdreef 312, 2492 JP The Haguewww.cbs.nl

PrepressStudio BCO, Den Haag

DesignEdenspiekermann

InformationTelephone +31 88 570 7070Via contact form: www.cbs.nl/information

© Statistics Netherlands, The Hague/Heerlen/Bonaire, 2016.Reproduction is permitted, provided Statistics Netherlands is quoted as the source.