Household inflation is taking a toll on some more than others

Stats NZ data shows the cost of living for the average household increased three percent in the year to December - down from 3.8 percent in September.

For the wealthiest household group, inflation was 2.7 percent - and for the poorest it was 3.9 - differences largely down to unequal percentage rises for insurance, rates, and rents.

ASB senior economist Mark Smith says high living costs are being driven by the prices of goods and services.

He says rents, rates and insurance all remain high.