Inflation is decreasing, but the expensive prices issue persists

In October, inflation in Tuscany showed a significant reduction from +5.9% to +2.1%; however, the region remains among the most expensive in Italy. Umbria maintains its position as the most expensive with +2.4%, followed by Campania and Val d’Aosta at +2.3%. The phenomenon of “expensive prices” persists, highlighting economic challenges in the region.

Expensive Prices: Goods and Services Impacting Inflation

The deceleration of inflation is mainly attributed to the slowdown in energy prices, both in the free market (from +7.6% to -17.7%) and the regulated market (from -27.9% to -31.7%). However, food prices remain high. Unprocessed food items such as fresh meat and fish, fruits, and vegetables show a slight decrease (from +7.7% to +4.9%), while processed ones go from +8.9% to +7.3%. Despite the decrease, prices for housing-related services (from +3.7% to +4%) and transportation (from +3.8% to +4%) are increasing.

Criticism from UNC: “Failure of the Anti-Inflation Quarter”

The National Consumers’ Union (UNC) criticizes the inflation decrease, labeling the anti-inflation quarter as a failure. The president, Massimiliano Dona, argues that the effect on prices has been negligible, and the annual comparison is distorted. UNC calls for government intervention, including a review of electricity charges and an extension of the regulated market.

Milan, Inflation Down but Costs High

Despite inflation dropping to +1.7% in October, Milan remains expensive, with a +2.5% rate and the highest cost of living ranking. Citizens and consumer associations agree that the benefits of the “anti-inflation quarter” are limited. According to the Consumer Union, every Milanese family will face nearly €680 in additional expenses compared to the previous year.

ISTAT’s Downward Revision of Estimates

ISTAT revises October’s inflation downward to +1.7%. Food prices experience a significant slowdown from +8.1% to +6.1%. The European Union adjusts its forecasts for Italy’s GDP, predicting a decrease in 2023 and an increase in 2024.

The Complexity of the Current Economic Situation

While inflation in Tuscany shows a reduction in October, “expensive prices” remain a persistent issue. Criticisms from UNC indicate the need for targeted government interventions. Milan, despite experiencing a decline in inflation, remains one of the most expensive cities in Italy. ISTAT’s downward revision reflects the complexity of the current economic situation, with challenges to address to ensure real benefits for consumers.

The Trend of “expensive prices” in Tuscany and Its Impact on Consumers and the Economy

Despite the significant reduction in inflation in Tuscany in October, issues related to “expensive prices” persist, affecting both consumers and the regional economy. While Umbria maintains its position as the most expensive region in Italy with an annual inflation rate of +2.4%, Tuscany stands at +2.1%, placing it among the regions with the highest costs.

The deceleration of inflation is mainly attributed to the slowdown in energy prices, both in the free market and the regulated market. However, despite this decline, prices for food items remain high. Unprocessed food items, such as fresh meat and fish, fruits, and vegetables, show a slight decrease, but the situation remains critical.