Canadians continue to benefit from lower gasoline prices, but housing prices continue to rise. (chrismetcalfTV/Flickr photo)

Canadians continue to benefit from lower gasoline prices, but housing prices continue to rise. (chrismetcalfTV/Flickr photo)

Canadians close dreary 2020 with big ticket spending splurge

Gasoline prices down, housing prices up, according to Statistics Canada

Low gas prices continue to benefit Canadians, who appear to be splurging on big-ticket items to deal with the COVID-19 pandemic, according to new inflation figures from Statistics Canada.

Excluding gasoline, the Consumer Price Indexrose 1.3 per cent in November, up from an increase of one per cent in October. Year over year, the CPI rose at a faster pace in November (up one per cent) than in October (up 0.7 per cent) with shelter prices (up 1.9 per cent) contributing the most to the increase.

Gasoline prices fell 11.9 per cent year over year in November, with domestic and international demand remaining low as tighter public health restrictions due to the second wave of COVID-19 continue to depress demand for gasoline.

While consumer confidence remains below pre-pandemic levels, higher consumer spending on household durable goods led to higher prices for furniture (up 2.8 per cent) and household appliances (up 2.9 per cent), according to the agency, whose analysis suggests that Canadians might have engaged in some retail therapy.

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

“As the household savings rate declined compared with the early months of the pandemic, physical distancing rules encouraging Canadians to stay home may have prompted increased spending on big-ticket items for the home,” a report reads.

Canadians also spent more on housing.

Rents rose 1.5 per cent during the 12 months to November, up from an increase of one per cent in October.

“While year-over-year growth in rent prices remained below pre-pandemic levels, November marked the fifth month-over-month increase in six months, with the lone decrease occurring in July,” it read.

Canadians also spent more on new homes as the so-called homeowners’ replacement cost index linked to the price of new homes rose 1.1 per cent month in November, the ninth consecutive monthly increase.

“Historically low interest rates coupled with a shift in home buyer preferences toward larger spaces continued to fuel demand for single-family homes,” it reads. “This higher demand and the combination of higher building material costs and low inventory of homes for sale in some markets contributed to rising prices for new housing.”


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

The Independent Investigations Office of B.C. is investigating the shooting of an Indigenous woman in the Ucluelet First Nation community of Hitacu. (Black Press Media file photo)
NTC president calls for ‘massive change’ after Indigenous woman shot by police in Hitacu

“We need to get to the root of what is actually happening with the RCMP and our communities”

Hotel Zed Tofino has won a Vancouver Island Real Estate Board Commercial Building Award. (Westerly file photo)
Hotel Zed Tofino wins commercial building award

Vancouver Island Real Estate Board holds virtual gala.

The District of Ucluelet is fast-tracking temporary use permits for RVs/campervans as seasonal housing. (Westerly file photo)
Ucluelet reviews 11 applications for RVs as seasonal housing

“Housing is so essential to everyone, and an issue that cases a lot of stress to business owners.”

A bullet hole is seen in the windshield of an RCMP vehicle approximately 4 km from Vancouver International Airport after a one person was killed during a shooting outside the international departures terminal at the airport, in Richmond, B.C., Sunday, May 9, 2021. THE CANADIAN PRESS/Darryl Dyck
Homicide team IDs man in fatal YVR shooting as police grapple with spate of gang violence

Man, 20, charged in separate fatal shooting Burnaby over the weekend

RCMP are searching for Philip Toner, who is a ‘person of interest’ in the investigation of a suspicious death in Kootenay National Park last week. Photo courtesy BC RCMP.
RCMP identify ‘person of interest’ in Kootenay National Park suspicious death

Police are looking for Philip Toner, who was known to a woman found dead near Radium last week

Vancouver Canucks goaltender Thatcher Demko (35) makes a save on Winnipeg Jets’ Nate Thompson (11) during second period NHL action in Winnipeg, Monday, May 10, 2021. THE CANADIAN PRESS/Fred Greenslade
Vancouver Canucks see NHL playoff hopes dashed despite 3-1 win over Winnipeg

Montreal Canadiens earn final North Division post-season spot

The B.C. legislature went from 85 seats to 87 before the 2017 election, causing a reorganization with curved rows and new desks squeezed in at the back. The next electoral boundary review could see another six seats added. (Black Press files)
B.C. election law could add six seats, remove rural protection

North, Kootenays could lose seats as cities gain more

Nurse Gurinder Rai, left, administers the Moderna COVID-19 vaccine to Maria Yule at a Fraser Health drive-thru vaccination site, in Coquitlam, B.C., on Wednesday, May 5, 2021. The site is open for vaccinations 11 hours per day to those who have pre-booked an appointment. THE CANADIAN PRESS/Darryl Dyck
COVID vaccine bookings to open for adults 40+, or 18+ in hotspots, across B.C.

Only people who have registered will get their alert to book

Dr. Victoria Lee, CEO of Fraser Health, hosts an update on efforts to contain B.C.’s COVID-19 transmission in Surrey and the Fraser Valley and protect hospitals in the Lower Mainland, May 6, 2021. (B.C. government video)
B.C.’s COVID-19 infection rate slowing, 20 more people die

Deaths include two people in their 40s, two in their 50s

Oak Bay resident Hugh Thompson died Friday, May 7. (GoFundMe photo)
Oak Bay dad dies mountain biking near Shawnigan Lake

Community rallies around family with online fundraiser

Most Read