Higher prices at the pump contributed to a one per cent jump in the Consumer Price Index in January 2021 compared to 12 months ago. (Graham Hughes/The Canadian Press)

Higher prices at the pump contributed to a one per cent jump in the Consumer Price Index in January 2021 compared to 12 months ago. (Graham Hughes/The Canadian Press)

Higher gas prices led to higher January consumer prices in Canada

Prices for other goods including food also rose, but at a slower pace

New figures show a financial squeeze at the pumps as higher prices for gasoline and other consumer goods led to accelerated inflation in January.

The Consumer Price Index (CPI) rose 1 per cent in January compared to the same period in 2020, according to Statistics Canada, with higher gasoline prices (up 6.1 per cent compared to December 2020) combining with higher prices for other goods.

This increase, the second in as many months, coincided with production cutbacks by major oil-producing countries responding to local global demand for crude oil.

Gas prices were 3.3 per cent lower than January 2020, as the global outbreak of COVID-19 heightened demand and uncertainty in the oil and gas market.

RELATED: Canadians paid more for food and housing in October as inflation rose

Statistics Canada also found that Canadians paid more for vehicles (up to 2.9 per cent), phones (up 3.4 per cent) and phone plans (up 4.2 per cent).

Prices for meat and vegetables also rose in January, but at a slower pace thanks to good harvests in the United States and Mexico as well as the diversion of food from the food service sector toward retail.

Looking at regional data, British Columbians experienced slightly higher inflation than Canada as a whole at 1.1 per cent in January, while neighbouring Alberta’s inflation rate of 0.8 per cent was below the national figure.


Do you have a story tip? Email: vnc.editorial@blackpress.ca.

Follow us on Twitter and Instagram, and like us on Facebook.

wolfgang.depner@peninsulanewsreview.com

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

A memorial to Hudson Brooks outside the South Surrey RCMP detachment. (File photo)
Officer who fatally shot Hudson Brooks recounts ‘absolutely terrifying’ incident

Const. Elizabeth Cucheran testified at coroner’s inquest Tuesday morning

Single-family houses like these, under construction in Willoughby, are now 20 per cent more valuable than a year ago, according to recent real estate numbers. (Matthew Claxton/Langley Advance Times)
‘Great Congestion’ hits Langley real estate as buyers vie for houses

Townhouses and single-family homes are in high demand and prices are up

Riverside Calvary Church in Walnut Grove. (Langley Advance Times file)
B.C. is ‘stereotyping’ churches as riskier for COVID than other spaces, lawyer argues

Judge said that freedom of expression, religion are not at issue in the case

Which came first? Actually, you might not need the chicken at all pretty soon. (Black Press Media File Photo)
Painful Truth: Eggs without chickens?

What does that do to poultry farmers?

A player is checked in prior to the start of play in a North Langley Softball video produced to demonstrate COVID-19 safety measures are in place (Danica Reed video/special to Langley Advance Times)
Playing it safe: North Langley Softball produces COVID safety video

Intended to answer parental concerns about precautions while practicing during a pandemic

Older rental apartments are prime candidates for renovations, and could result in lost affordable housing stock. (Zoë Ducklow photo)
B.C.’s renoviction overhaul a good start, but won’t preserve affordable stock, lawyer says

And still no protection for people who can’t pay rent due to COVID-19

(Photo by Marissa Baecker/Shoot the Breeze)
B.C. WHL teams to hit the ice with Kelowna, Kamloops hub cities

Kelowna, Kamloops centres chosen to host B.C. WHL teams for 24-game regular season

The machines are akin to ATMs and allow drug users at risk of overdose to get hydromorphone pills dispensed to them after their palm has been scanned to identify its unique vein pattern. (CANADIAN PRESS)
Feds dole out $3.5M for ‘vending machines’ to dispense safer opioids in B.C.

Vancouver and Victoria both have a MySafe machine to help reduce overdoses

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Kelowna’s lakefront visitor centre is one of 130 around the province. Tourism businesses have been hardest hit by COVID-19 restrictions on travel. (Destination B.C.)
Tourism, small business getting COVID-19 help, B.C. minister says

$300M grant program has delivered $50 million so far

The incident happened in downtown Castlegar. Photo: Betsy Kline
Castlegar teen recounts stabbing after stranger breaks into grandmother’s house

The unnamed teen survived a terrifying attack Feb. 21

(Black Press file photo)
Agassiz boy, 11, dies from ‘extensive injuries’: Homicide team

Agassiz RCMP were called out Friday to assist with a child in medical distress

Dr. Amit Desai of St. Francis Hospital receives a COVID-19 vaccine on Dec. 17. (Photo courtesy of CHI Franciscan)
B.C. has now vaccinated more people from COVID-19 than total confirmed cases

B.C. has reached a milestone, vaccinating roughly 1.6% of its population from the coronavirus

Most Read