The Australian Bureau of Statistics (ABS) released the Consumer Price Index (CPI) figures for the March 2023 quarter today (for the period 1 January 2023 to 31 March 2023).
Both landlords and tenants may wish to:
- check their leases to see whether a CPI rent review is due using the March 2023 quarter CPI number; and
- if a CPI rent review is due, apply the correct CPI number for that review.
Partner Justin Raiteri highlights the key areas of interest for landlords and tenants.
Key areas of interest
ALL GROUPS - BRISBANE
The new All Groups CPI number for Brisbane for the March 2023 quarter is 134.6. The CPI number for the March 2022 quarter was 125.3, so the new CPI number equates to an increase of 7.4% over the corresponding quarter for the previous year.
ALL GROUPS – PERTH
The new All Groups CPI number for Perth for the March 2023 quarter is 130.4. The CPI number for the March 2022 quarter was 123.3, so the new CPI number equates to an increase of 5.8% over the corresponding quarter for the previous year.
ALL GROUPS – WEIGHTED AVERAGE OF THE EIGHT CAPITAL CITIES
The new All Groups weighted average CPI number for the eight capital cities for the March 2023 quarter is 132.6. The weighted average CPI number for the March 2022 quarter was 123.9, so the new CPI number equates to an increase of 7% over the corresponding quarter for the previous year. This is the first time since the September 2021 Quarter that an annual CPI increase percentage for the eight capital cities on a weighted average basis has been less than the annual CPI increase percentage of the previous quarter.
ALL GROUPS – CAPITAL CITIES COMPARISON
In relation to All Groups CPI for each capital city, Adelaide recorded the largest increase (7.9%) over the corresponding quarter for the previous year, followed by Brisbane (7.4%) and then Sydney (7.3%). Perth recorded the lowest increase (5.8%). The other four capital cities ranged from a 6.9% increase (Hobart) to a 6.2% increase (Darwin and Canberra).
A summary of the percentage increases for the eight capital cities is provided below:
| City | Index for March 2022 | Index for March 2023 | Percentage increase |
| Sydney | 123.7 | 132.7 | 7.3% |
| Melbourne | 124.2 | 132.7 | 6.8% |
| Brisbane | 125.3 | 134.6 | 7.4% |
| Adelaide | 122.7 | 132.4 | 7.9% |
| Perth | 123.3 | 130.4 | 5.8% |
| Hobart | 125.4 | 134.0 | 6.9% |
| Darwin | 120.7 | 128.2 | 6.2% |
| Canberra | 123.6 | 131.3 | 6.2% |
A detailed breakdown of the CPI figures is available on the Australian Bureau of Statistics website.
For more information about applying CPI figures to your leases, please contact our Commercial and Retail Leasing team.