Inflation is down but prices remain high: when will the cost-of-living crisis end?

For higher prices to feel ‘normal’ again, we need enough growth in people’s wages to compensate for all the inflation. Photograph: Bianca De Marchi/AAP

Inflation has come down from the stratospheric peaks of December 2022, dropping to 2.1% in the year to June and towards the bottom of the Reserve Bank’s 2-3% target range.

That’s the good news: things generally aren’t getting more expensive at the same breakneck pace that they were a couple of years ago.