What to know
- Canada’s inflation rate dropped to 2.8 per cent in June, but many Torontonians say they haven’t noticed prices falling.
- The cost of gas, groceries, and travel remain top concerns for residents, who report higher costs compared to last year.
- Most locals surveyed would prefer a 20 per cent discount on groceries over savings at the pump.
- Even with lower official inflation, many are cutting back or changing habits to make ends meet.
Canadians have been taking a hard hit from inflation over the last few months, but data shows the Consumer Price Index (CPI) has finally eased in June; here’s how Torontonians are feeling about the cost of essentials in the city.
Statistics Canada has revealed that June’s inflation rate is down compared to May’s 3.2 per cent gain.
Now, the CPI is at a 2.8 per cent rate. Here’s what it means:
- Gasoline: On a year-over-year basis, the price at the pump increased 20.5 per cent in June versus 33.2 per cent in May.
- Travel: Travel rose 10.1 per cent versus a 2.5 per cent increase in May. Driving also increased 19.4 per cent in Ontario, partly due to being a host city for the FIFA World Cup.
- Groceries: For the 17th consecutive month, grocery inflation has surpassed other CPI items. However, Food prices increased at 3.9 per cent, lower than May’s 4.3 per cent rate.
So, Now Toronto hit the streets to ask locals how inflation’s been treating them lately.
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‘I have definitely not noticed it’: Many Torontonians aren’t noticing the lower inflation rate
Toronto resident Steven H. says he hasn’t noticed the decreasing rates reflected at the cash register when he’s purchasing essentials like groceries or gasoline.
“I have definitely not noticed it at the pump. I mean, it’s been going up and down, pretty consistently,” he told Now Toronto.
When he’s travelling, he says gas is increasingly expensive, despite the survey’s results showing it’s decreased.
“In the summer, you want to travel, you want to get out of the city a little bit. Every time you go somewhere now, I’m thinking the most about gas,” Steven said.
Toronto resident Warner C. says he hasn’t noticed it directly.
“Though I have seen big lineups at the pumps, which kind of points to a lower price and cost,” he said.
Warner added that bills for food, including eating out and groceries, have steadily increased.
Toronto resident Alec C. says that he hasn’t noticed an increase in costs when it comes to fueling up because he hasn’t been driving much.
“I think that public transit is the way to go, or active transportation… I do drive, but not in the city,” he told Now Toronto.
Alec’s noticed groceries have been becoming more expensive, so he’s cut out chips and snacks to save money.
“I don’t think they have the same value anymore. You don’t really find them to be super cheap or on sale as much,” he said.
20 cents off gas per litre or 20 per cent off groceries?
When questioned about the cost of living, and asked if they would rather have a 20 per cent discount on groceries, or a discount of $0.20/litre on gasoline, all residents we spoke to said they would rather see some savings on groceries.
“You don’t necessarily need to drive, but you need to eat. So I’d rather see a discount on groceries,” Steven told Now Toronto.
Warner agreed, saying, “Everyone needs groceries, and they’re expensive. Definitely could use a few bucks there.”
