Soaring health insurance premiums are a major driver of the increase in the cost of living, the latest Government statistics reveal.

The Consumer Price Index, released by the Department of Statistics today, showed there was an average increase of 8.2 percent in the cost of health insurance premiums in April.

That led to a 5.3 percent increase in health and personal care costs in April compared to the month before, and a 6.6 percent increase over April 2013.

The annual rate of inflation was 1.9 percent, down slightly from the two percent recorded in March.

According to the CPI, food prices rose 2.5 percent year over year, while rent prices were up one percent during the same period.

However food prices dropped 0.2 percent from March, with lamb legs (-8.3 percent), dried spices (-4.1 percent) and eggs (-4.1 percent) the largest contributors to the overall decrease.

The fuel and power sector recorded a monthly 1.1 percent rise in April, following a 2.1 percent increase in March. Residential consumers paid 3.2 percent more for electricity due to an increase in the fuel adjustment rate.

The transport and vehicle sector dropped 2.4 percent in April, following three consecutive months of increases. The average price of overseas hotel accommodations and airfare fell by 8.9 percent and 6.7 percent, respectively. In contrast, premium fuel prices increased 0.8 percent.

The CPI’s basket of goods and services that cost $100 in April 2006 now costs $123.80.