Food prices in the 12 months ended December rose 1.5 per cent, driven by higher prices for grocery food and restaurant meals.

The increase extended the 1.3 per cent in the 12 months to November, according to Stats NZ.

During the December period, prices for grocery food and restaurant meals and ready-to-eat food were up 2.7 per cent and 3.1 per cent, respectively.

The increase in grocery food prices was due to more expensive butter, standard 2L milk, and olive oil. Prices for lunch/brunch, hamburgers, and evening restaurant meals were also higher.

Meanwhile, prices of fruit and vegetables fell 8 per cent, driven by cheaper kūmara, potatoes, and onions.