Inflation affects all Singaporeans squarely

All income brackets from the lowest 20% to the highest 20% effectively had to bear inflation increases in the 3.9-4.1% range in 1H12.

"During the first half of 2012, the CPI-All Items inflation for the lowest 20%, middle 60% and highest 20% income groups were 6.3 per cent, 5.2 per cent and 4.6 per cent respectively. However, these overall differences between the groups were attributable to higher imputed rentals on owner-occupied accommodation, which have no impact on the actual cash expenditure of such households as they own their homes," said Statistics Singapore alongside the release of June 2012 inflation data.

"Excluding these imputed rentals on owner-occupied accommodation the CPI increases were comparable for the three income groups, at 4.1 per cent, 3.9 per cent and 4.0 per cent for the lowest 20%, middle 60% and highest 20% income groups respectively," it added.

"Other contributors to the increase in the CPI for all income groups were food, electricity tariffs and cars. There was also a year-on-year increase in costs of minor repairs & maintenance, largely on account of a lower base in the first half of 2011 due to government rebates on service and conservancy (S&CC) charges for HDB households," it said further.