33 yorkville condos . Prices in Canada soared to 4.1%! Statistics Canada recently released the latest data on inflation, and the consumer price index rose 4.1% in August from a year earlier.
Far higher than the 2% control target previously set by the Bank of Canada! After setting a record in July, the consumer price index (CPI), which measures inflation in Canada, soared to its highest level in nearly 20 years in August.
The last time there was such a high level of inflation in Canada was in 2003. Compared with 2021, the prices of almost all goods and services have risen to varying degrees, including housing-related by 4.8%, transportation-related by 8.7% and food-related by 2.7%.
When it comes to the main culprits driving inflation, it is necessary to mention the reopening of Canadian provinces and the increase in travel, and the biggest price increase is air tickets, which soared by 37.5%. At the same time, Canadian fuel prices have risen by about 32.5% from a year ago, and hotel reservations have risen by about 12% in a year.
The rise was driven in part by epidemic restrictions and supply chain problems, such as semiconductor problems, which pushed up car prices, with new car prices rising 7.2% in August from a year earlier, the highest increase since 1994, according to CTV.
Due to supply chain delays and rising wood costs, furniture prices also soared 8.7% year-on-year, while household appliance prices rose 5.3% year-on-year, as many Canadians continue to work from home, so they are more willing to spend money on houses and furniture.
Real estate consultancy Knight Frank recently released a new ranking comparing house prices in 46 major cities around the world this year. Toronto leads the world in terms of the fastest rise in house prices this year, according to the report.
House prices in Toronto soared 27% in the 12 months from June last year to June this year, according to the report. The researchers point out that the main reason for pushing up house prices is the strong willingness of buyers to buy houses and the promotion of low inventory.
In the first half of 2021, house prices in Toronto surged 15.5% from the first quarter to the second quarter, the only place in the 46 city rankings where house prices increased by double digits in the first quarter.
In the face of rising prices, Ontario also raised the minimum wage on October 1 this year, but not by much, by only $0.10 per hour.
The average annual salary is expected to grow by 2.5 per cent in 2022, according to a LifeWorks survey of Canadian employer pay plans. After excluding organizations that plan to freeze wages, average wages are expected to rise by 2.7% next year.