Consumer Price Index, July 2025
Released: 2025-08-19
The Consumer Price Index (CPI) rose 1.7% on a year-over-year basis in July, down from a 1.9% increase in June.
Prices for gasoline led the slowdown in the all-items CPI, falling 16.1% year over year in July, following a 13.4% decline in June. Excluding gasoline, the CPI rose 2.5% in July, matching the increases in May and June.
Moderating the deceleration in July were higher prices for groceries and a smaller year-over-year decline in natural gas prices compared with June.
The CPI rose 0.3% month over month in July. On a seasonally adjusted monthly basis, the CPI was up 0.1%.
Chart 1
The 12-month change in the Consumer Price Index (CPI) and CPI excluding gasoline
Chart 2
Prices increase in seven major components in July
Gasoline prices continue to fall
Year over year, gasoline prices continued to reflect the removal of the consumer carbon levy, falling 16.1% in July, following a 13.4% decline in June. In recent months, prices for gasoline have been relatively stable, increasing 0.4% since April.
On a monthly basis, gasoline prices fell 0.7% in July. Lower crude oil prices, following the ceasefire between Iran and Israel, contributed to the decline. In addition, increased supply from the Organization of the Petroleum Exporting Countries and its partners (OPEC+) put downward pressure on the index.
Chart 3
Gasoline prices continue to decline in July
Shelter prices increase in July
In July, prices for shelter rose 3.0% year over year, following a 2.9% increase in June, with upward pressure mostly coming from the natural gas and rent indexes. This was the first acceleration in shelter prices since February 2024.
Prices for natural gas fell to a lesser extent in July (-7.3%) compared with June (-14.1%). The smaller decline was mainly due to higher prices in Ontario, which increased 1.8% in July after a 14.0% decline in June.
Rent prices rose at a faster pace year over year, up 5.1% in July following a 4.7% increase in June. Rent price growth accelerated the most in Prince Edward Island (+5.6%), Newfoundland and Labrador (+7.8%) and British Columbia (+4.8%).
Moderating the acceleration in shelter was continued slower price growth in mortgage interest cost, which rose 4.8% year over year in July, after a 5.6% gain in June. The mortgage interest cost index has decelerated on a year-over-year basis since September 2023.
Grocery prices rise at a faster pace
Year over year, prices for food purchased from stores rose at a faster pace in July (+3.4%) compared with June (+2.8%). Prices for confectionery (+11.8%) and coffee (+28.6%) accelerated, contributing to the increase in grocery prices. Unfavourable weather conditions in growing regions led to higher prices for the primary ingredients (cocoa and coffee beans) used to produce these food products.
Additionally, prices for fresh fruit rose 3.9% year over year in July, following a 2.1% increase in June, largely stemming from higher prices for grapes (+29.7%).
As of July 2025, Canadians were paying 27.1% more for food purchased from stores than they were in July 2020.
Chart 4
Price growth for food purchased from stores exceeds headline inflation for the past six months
Focus on Canada and the United States
Tariffs affect many facets of the economy, including inflation. The imposition of tariffs by the United States and countermeasure tariffs by the Canadian government can result in varying effects on final consumer prices. Read more about the potential impacts of US tariffs on the Bank of Canada's website.
No special adjustments to the Consumer Price Index will be required for tariffs, as their effect is embedded in the final prices collected.
Statistics Canada will continue to monitor developments on tariffs and the impact on consumer price inflation.
For more data and insights on areas touched by the socio-economic relationship between Canada and the United States, see the Focus on Canada and the United States webpage.
Explore the Consumer Price Index tools
Check out the Personal Inflation Calculator. This interactive calculator allows you to enter dollar amounts in the common expense categories to produce a personalized inflation rate, which you can compare with the official measure of inflation for the average Canadian household—the Consumer Price Index (CPI).
Browse the Consumer Price Index Data Visualization Tool to access current (Latest Snapshot of the CPI) and historical (Price trends: 1914 to today) CPI data in a customizable visual format.
Regional highlights
On a yearly basis, prices rose at a slower pace in six provinces in July compared with June, while two provinces had higher inflation than the national total.
In July, price growth accelerated the most in Newfoundland and Labrador, mainly due to higher prices for electricity (+13.9%).
Chart 5
The Consumer Price Index rises at a slower pace in six provinces in July
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Note to readers
Visit the Consumer Price Index portal to find all Consumer Price Index (CPI) data, publications, interactive tools and announcements highlighting new products and upcoming changes to the CPI in one convenient location.
Real-time data tables
Real-time data table 18-10-0259-01 will be updated on September 2. For more information, consult the document, "Real-time data tables."
Next release
The Consumer Price Index for August will be released on September 16.
Products
The "Consumer Price Index Data Visualization Tool" is available on the Statistics Canada website.
More information on the concepts and use of the Consumer Price Index (CPI) is available in The Canadian Consumer Price Index Reference Paper (62-553-X).
For information on the history of the CPI in Canada, consult the publication Exploring the first century of Canada's Consumer Price Index (62-604-X).
Two videos, "An Overview of Canada's Consumer Price Index (CPI)" and "The Consumer Price Index (CPI) and Your Experience of Price Change," are available on Statistics Canada's YouTube channel.
The podcast ''Eh Sayers Episode 18 - Why Food Inflation Is Such A Hard Nut To Crack'' is also available.
Find out answers to the most common questions posed about the CPI in the context of the COVID-19 pandemic and beyond.
Contact information
For more information, or to enquire about the concepts, methods or data quality of this release, contact us (toll-free 1-800-263-1136; 514-283-8300; infostats@statcan.gc.ca) or Media Relations (statcan.mediahotline-ligneinfomedias.statcan@statcan.gc.ca).
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