The price gap between Dublin and the rest of the country for basic goods and services is narrowing, according to a new report from the Central Statistics Office.
A total of 73 products, from a packet of rashers to a woman's haircut, cost on average 3.2 per cent more last month in Dublin than in regional towns and cities with a population of less than 20,000.
This compared to a 3.6 per cent price differential last November and a 4.2 differential in May 2004.
When alcoholic drinks were excluded from calculations, Dublin prices were found to be only 0.3 per cent higher than the rest of the country last month.
Prices were higher in Dublin for 44 of the 73 items, including most categories of meat. In the case of roast loin of pork it was as much as 12.3 per cent higher.
It was cheaper in Dublin for bananas and tomatoes but more expensive for the remaining fruit and vegetables, ranging from 1 per cent more expensive for carrots to 20.3 per cent more expensive for grapes.
Although the price of take-home alcoholic drinks varied little between Dublin and elsewhere, the same could not be said for drinks bought on licensed premises.
The greatest difference was for a half pint of lager, which cost 13.4 per cent more in Dublin on average.
Average Dublin prices for a cinema ticket and a "wash, cut and blow dry" in a ladies' hairdresser also greatly exceeded the average elsewhere - by 18.7 per cent and 15.2 per cent respectively. However, average unleaded petrol prices were 1.1 per cent lower in Dublin, and average diesel prices 0.8 per cent lower.
The Dublin Chamber of Commerce said the figures indicated that Dublin was becoming more competitive despite lingering allegations of a "rip-off" culture.
The organisation's chief executive, Gina Quin, said: "Price differences generally reflect the balance between the economies of scale of feeding into a higher-density market and the many higher costs companies face whilst doing business in Dublin.
"Of particular concern is the margin squeeze firms face with stiff price competition in a competitive market . . . and rising costs, including local authority rates, water and waste charges."
But Fine Gael enterprise spokesman Phil Hogan said the discrepancy between prices in Dublin and those elsewhere warranted an investigation by either the Competition Authority or the new National Consumer Agency.
He said there was "no rational explanation" for the fact that Dublin residents paid an average of almost €10 extra on a typical night out.
"The average price of products in Dublin should be cheaper than in the rest of Ireland, particularly foodstuffs. The fact that more goods are available for sale in Dublin, and in a greater variety, should mean that they cost less.
And the fact that there are significantly more skilled workers in Dublin should mean that the services they provide are cheaper than elsewhere," he said.
