National inflation holds steady in May, cost of vehicles rises

National inflation held steady at 1.7 per cent in May, but the cost of a new car rose substantially.

Statistics Canada points to slower increases in costs like mortgages and rent as a big factor keeping the annual pace of inflation lower.

The removal of the consumer carbon price also continues to balance annual inflation at the petrol pumps.

Despite the positive news the cost of a new vehicle rose 4.9 per cent annually last month — mainly because of more expensive electric vehicles.

With files from The Canadian Press

READ MORE: WATCH: Premier Doug Ford government unveils final designs for Ontario Place