The Impact of Inflation on our 2024 Budget
Higher inflation and the costs of goods and services will be a key factor in setting our 2024 budget. These two charts show the impact of inflation.
Consumer Price Index (as at end of August 2023)The Consumer Price Index captures the cost of a fixed basket of goods and services relevant to Canadian consumers. As you can see, while the CPI is on a downward trend, prices are still higher than they have been historically, affecting households and all levels of government.
Inflation Rate (as at end of August 2023)
The core inflation rate as of July 2023 was 3.42% after peaking at 5.53% in July, 2022. While inflation is trending downward, the accumulative effect of higher inflation is being seen in the prices of goods and services throughout the economy. This will have an impact on the cost of Township goods and services and factor into our 2024 budget.
Source: Bank of Canada