The rise in oil prices was passed on to consumers in November as the annual rate of inflation increased to 2.9 per cent.
The latest consumer price index shows that inflation increased by 0.2 per cent in November as energy and transport became dearer in the month that oil hit $50 a barrel. Education costs also rose in November.
The annual rate of inflation as measured by the EU-wide HICP index increased from 2.5 per cent in October to 2.8 per cent in November.
The most notable price increases in 2004 have been in energy and fuel up 8 per cent, transport up 6.3per cent, health up 5.4 per cent and education up 5.4 per cent.
Prices of clothes and footwear have fallen by 3.3per cent and household furnishings, have fallen by 1.9 per cent.
The annual rate of inflation for goods was 1.8 per cent in November while the corresponding rate for services was 4 per cent.