August 18, 2017


27° C, A few clouds

Full Forecast


Advertise With Us

Province sees spike in inflation rate

Hey there, time traveller!
This article was published 23/8/2013 (1456 days ago), so information in it may no longer be current.

Manitoba’s nation-leading inflation rate kicked into an even higher gear in July, hitting 3.0 per cent in the wake of the one-per-cent hike in the provincial sales tax.

Not only was that the highest annual inflation rate in the country — a dubious distinction Manitoba has held for much of 2013 — it was also more than double the national rate of 1.3 per cent.

And once again, higher gas prices and provincial tax hikes were largely to blame for the latest spike in the province’s consumer price index, which was 2.7 per cent in June and 1.8 per cent in May.

"Manitoba posted larger year-over-year price increases for gasoline, for passenger vehicle registration fees and for cigarettes compared with the national average," Statistics Canada said.

It also noted the provincial sales tax (PST) rose from seven per cent to eight per cent on July 1.

Prince Edward Island had the second-highest inflation rate in July, at 2.3 per cent, while British Columbia boasted a rate of zero.

Nationally, the uptick in Canada’s annual inflation rate — it was 1.2 per cent in June — was almost all due to an increase in the price of gasoline. But it still remained tame and below expectations.

The modest gain in July, following sizable jumps of 0.3 and 0.5 per cent the previous two months, was about half what economists had expected and kept country’s inflation well below the Bank of Canada’s desired target of two per cent.

The little increase there was attributed mostly to a 6.1 per cent jump in gasoline prices, which helped pushed the overall cost of transportation higher.

But food prices, another major component in the inflation calculation, were only 0.8 per cent higher on average in July than they were a year earlier, the smallest gain since June 2010.

Core inflation, the best indicator of structural, underlying price pressures, stayed well anchored at 1.4 per cent, one-tenth of a point higher than in June.

— Staff/Canadian Press

Read more by by Murray McNeill.


Advertise With Us

You can comment on most stories on You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

Have Your Say

New to commenting? Check out our Frequently Asked Questions.

Have Your Say

Comments are open to Winnipeg Free Press print or e-edition subscribers only. why?

Have Your Say

Comments are open to Winnipeg Free Press Subscribers only. why?

The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective January 2015.

Photo Store

Scroll down to load more