Inflation eases to 2.3% in January as gas prices fall: StatCan

Statistics Canada says the annual rate of inflation ticked down to 2.3 per cent in January from 2.4 per cent in December.

The agency says lower prices at the pump and easing shelter inflation helped curb the pressure facing consumers last month.

According to StatCan, gas prices were 16.7 per cent lower year-over-year in January, which is being attributed to the end of the consumer carbon price back in April.

Last month, the cost of food purchased from restaurants jumped 12.3 per cent annually. StatCan says this was mostly due to last year’s federal “tax holiday” that eliminated part of the sales tax on dining out and other goods.

But grocery store costs rose 4.8 per cent year-over-year, down from five per cent in December.

Looking at shelter costs, Canadians saw a 1.7 per cent increase in the first month of the year. StatCan says this marked the slowest pace of price gains for the segment in nearly five years.

The Bank of Canada will take another look at February’s inflation data before its next rate decision on March 18.

With files from The Canadian Press

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