Vinyl is cool again. Or rather, it is now an important indicator of the health of the British economy.
Disc-shaped records, also known as LPs, have become a hot commodity recently as more people seek them out for their rustic charm and possibly better sound quality. This trend has not gone unnoticed by the UK’s official statistics body, the Office for National Statistics (ONS), which on Monday said vinyl would be one of more than 700 items used as a measure of inflation.
It’s been 32 years since vinyl was last given such importance. In 1992, the ONS decided to stop using them as an indicator as demand for CDs grew. Now vinyl is back, “reflecting a resurgence in popularity”, the ONS said.
“Often the basket reflects the adoption of new technology, but the return of vinyl records shows how a cultural renaissance can impact our spending,” ONS deputy director of prices Matt Corder said in a statement. “Our inflation basket of goods represents a fascinating snapshot of consumer spending over many years.”
Vinyl Renaissance
The vinyl renaissance in the UK led to record sales for the first time last year. since 1990. During 2023, despite high inflation, records were in high demand: a total of 6.1 million units sold increased by 11.8%, the fastest rate of growth this decade, according to the BPI, a British association representing labels and record companies.
The biggest driver of such rapid growth? Taylor Swift. Surprise Surprise.
There was never any doubt that Swift could become an economic force. The newly minted billionaire pop star released the album 1989: Taylor’s Version. as entry, which supported vinyl sales in 2023, BPI data shows. For this reason, Swift’s album received the most records (she also ranked as the fourth and eighth best-selling records on the BPI list).
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“It’s great to see that ONS has once again included vinyl records in its measure of what people buy in the UK,” said BPI chief executive Joe Twist. by X. “Demand for this beloved format has been steadily growing for nearly two decades, including among younger and more diverse consumers who stream daily but also love having their favorite music available on physical formats.”
Air fryers, rice cakes and more
Vinyl was among 15 new items added to a basket of products that will help determine the Consumer Price Index (CPI), an indicator of inflation. Other items on the list include air fryers, rice cakes and edible sunflower seeds.
An ONS spokesman said this. Luck that demand for air fryers is driven by health benefits and energy savings as people increased their spending on kitchen equipment by 30% between 2021 and 2022.
Similarly, sunflower seeds and rice cakes have become an important part of people’s move to healthier diets, making them among the new additions to the UK’s basket measuring inflation.
Products removed from the list, such as hand sanitizers, reflect a return to normalcy since the pandemic. Other items, such as draft stout and bakeware, were removed because they are in a category that is overrepresented in the CPI basket.
Inflation in the UK is currently 4%, significantly lower than previous levels. 41-year high 11.1% in October 2022, but would still double the 2% target.