A surge in gasoline prices helped drive Canada’s annual inflation rate well beyond expectations in January to 2.1 per cent. This increase has coincided with the implementation of new carbon-pricing policies in Ontario and Alberta.
The 6.3 per cent increase in transportation costs was the main contributor to the higher inflation rate, says Statistics Canada.
Statistics Canada also found that year-over-year inflation rates were higher in every province last month compared to a year earlier.