Inflation Prices for housing and mobility continue to rise sharply
The cost of housing and mobility in Switzerland rose significantly again in February. The price premium in this segment thus remains higher than official inflation.
27.03.2025, 08:03
SDA
Specifically, prices for housing and mobility in Switzerland rose by 0.7% in February 2025 compared to the same month last year, according to the "Womo Price Index" published on Thursday by the comparison portal Comparis and the KOF Swiss Economic Institute. By contrast, the national consumer price index (CPI), which covers a representative basket of over 1000 goods and services, rose by only 0.3 percent.
According to the press release, housing and mobility account for around 40 percent of the household budget for an average family in Switzerland. A price increase of 0.7 percent would mean annual additional costs of around CHF 311 with average costs of CHF 3700 per month for rent, car and public transport.
Acceleration in recent years
The rise in housing and mobility prices has accelerated significantly, particularly in the last four years. The "Womo price index" has risen by 21.2 percent over the last 20 years, with 9.7 percentage points being accounted for by the last four years. In the same period, overall inflation has only risen by 11.2 percent.
Energy prices have risen particularly sharply: the cost of gas, heating oil, firewood and district heating has risen by almost 50 percent over the past four years. The increase for electricity was 40 percent.
Residential rents have also risen by an above-average 9.3 percent in the last four years. In addition to the higher reference interest rate, the low supply of housing in particular has driven up rents.
New and used cars cheaper in the long term
New and used cars have become 8.8% and 4.0% more expensive respectively over the past four years. Compared to 20 years ago, however, they have become significantly cheaper by 26.2 percent and 8.7 percent respectively, according to the report.
The price increase was mainly due to the pandemic-related supply bottlenecks following the coronavirus crisis. However, prices have been falling again significantly for the past two years.
Sharp rise in motor vehicle insurance
There was a large year-on-year increase in motor vehicle insurance. Consumers had to pay 6.1% more than a year ago. This was followed by prices for floor coverings and carpets (+5.4%) and residential rents (+3.2%).
In contrast, electricity prices have fallen by 7.4% compared to a year ago. Prices for second-hand cars, other furniture such as garden, bedroom, kitchen and dining room furniture (-4.3%) and kitchen and cooking appliances (-3.7%) also fell sharply.
Comparis compiles the quarterly Womo Price Index in collaboration with the KOF Swiss Economic Institute at ETH Zurich. In the residential sector, the index takes into account the development of rents and the prices of electricity and furniture, for example. In the mobility sector, it includes the prices for petrol or diesel, for cars or for public transport tickets.
