'A shocker - to put it politely.' That's the assessment from Kiwibank economists to the biggest domestic inflation rise since records began.
Surging food and household costs have kept inflation close to a 32-year high. Vege prices increased 24 percent in the last quarter.
Grant Robertson says inflation is easing amid a volatile global environment, and is still pointing to international factors like the war in Ukraine.
The problem for the Finance Minister is domestic inflation is still high and rising. That's for things like rents and construction costs.
Petrol prices are coming down but their dip has been off set by an increase in almost everything else.
And it all means more hikes to interest rates are coming, putting more pressure on household budgets.
Our political reporter Giles Dexter has more.
