The prices businesses are charged for a wide range of services fell by 4.1 per cent in fourth quarter compared to the same three-month period a year earlier.
However, prices rose 0.4 per cent as against the third quarter, according to new figures from the Central Statistics Office (CSO). In the third quarter of 2009, service prices declined by 2.3 per cent.
The experimental Services Producer Price Index (SPPI) measures changes in the average prices charged by domestic service producers to other businesses for a selected range of services.
It shows that the most significant quarterly price decreases were in road-related costs, which were down 2.2 per cent, postal and courier costs, down 1.4 per cent and sea transport prices which rose 4.8 per cent.
On an annual basis, prices for architecture, engineering and technical testing fell by 9.7 per cent while computer programming and consultancy costs declined by 8.5 per cent.
Service prices for advertising, media representation and market research fell by 7.2 per cent while costs for air transport increased by 6.3 per cent.
Respondents said increased competition and rate reductions negotiated by customers were responsible for large decreases in prices charged in freight and removal by road costs and the posal and courier rates during the fourth quarter.
The CSO advised that the Services Producer Price Index is still under development, and that all figures should be treated as provisional.
