Prices for services like rent, bank fees and insurance increased just a combined 1.3 percent from September 2015 to September 2016, something not seen for decades.
“It is the lowest increase in service prices in over 50 years,” Statistics Denmark wrote.
The price of goods – including food, clothing, petrol and electronics – decreased by 1.4 percent over the past year, while the overall consumer price index did not increase at all between August and September.
The was brought down by lower rental prices for summer homes and the falling cost of meat and furniture. Rental prices on year-round homes, however, increased by 20 percent in September 2016 when compared to the same month last year.
According to Nykredit economist Tore Strammer, the tepid increase in goods and services prices comes as salaries in the private sector increased by 2.2 percent in the same period. The bank calculated that the average Danish family can end each month with an extra 560 kroner in their pockets.
While Danes, who pay more than anyone else in the EU for food and non-alcoholic drinks, might cheer the news that the prices have stagnated, an economist with the Danish Confederation of Enterprise (Dansk Erhverv) told news agency Ritzau that the low inflation is a sign that the Danish economy still hasn't fully recovered from the global financial crisis.