The Consumer Price Index (CPI), released today by Statistics Canada, shows an increase of 2.4% in December compared to the same period last year, following a 2.2% increase in November.
The acceleration in annual headline CPI growth is mainly attributable to the temporary GST/HST holiday introduced on December 14, 2024. This measure led to monthly price declines for exempt goods and services, which were not reflected in the year-over-year change, thereby exerting upward pressure on the overall CPI.
Excluding gasoline, the CPI rose by 3.0% in December, compared with 2.6% in November.
On a monthly basis, the CPI declined by 0.2% in December. On a seasonally adjusted basis, the CPI increased by 0.3%.
It should be noted that the next release of the Consumer Price Index, covering January, will take place on Monday, February 16.
