While a coffee will still set you back the most in Perth, the average cup price is going up around the country, with Melbourne recording the most noticeable jump.

Quarterly results released by the Gilkatho Cappuccino Price Index have found at $3.34, the average cost of an 8oz cappuccino is lowest in Sydney. However, Melbourne is not far behind, with coffee drinkers typically spending $3.43 per cup.

“It is particularly interesting to see that while Sydney has one of the highest costs of living in the world it also has the cheapest coffee in Australia, averaging out at $3.34 per cup. This can be seen as a result of the high density, highly competitive, coffee market within the Sydney CBD,” Gilkatho managing director Wayne Fowler said, as reported by Hospitality Magazine.

“Melbourne has a refined coffee culture and Melburnians are prepared to pay for a quality cup of coffee. The increase of almost 9 per cent over the past four years shows café owners are spending more time and money on the overall experience of drinking coffee.

“This includes using premium milk, boutique coffee providers and café atmosphere.” Wayne added Perth’s high coffee prices are a direct result of its popularity as a tourist destination.

“The relative low increase but consistently high price of coffee in Perth, on the other hand, can be seen as a direct result of the active export and tourism markets, which helps justify higher prices,” he said, Gilkatho surveyed more than 1100 cafés and coffee venues across Australia’s key cities to arrive at the results, which account for factors including international coffee prices, increasing rents, labour costs and consumer spending habits, as reported by Hospitality Magazine.