Saskatchewan’s inflation rate accelerates in April


An increase in the provincial sales tax, and an increase in its scope, contributed to an acceleration in Saskatchewan’s inflation rate in April.

Statistics Canada reported Friday the consumer price index rose 1.4 per cent on a year-over-year basis.

READ MORE: How PST and income tax changes will affect Saskatchewan

That was up 0.8 percentage points from March.

The Saskatchewan government increased the PST from five per cent to six per cent on March 24, 2017.

The government also announced in its provincial budget that the PST would be applied on all meals and snacks bought at restaurants starting on April 1.

READ MORE: Saskatchewan Budget 2017: sales tax increasing to deal with deficit

This caused the cost of food purchased in restaurants to rise 7.3 per cent from the previous year.

Alcohol and tobacco products were up 4.6 per cent, due in part to the increase in PST, along with an increase in the mark-up of alcohol and an increase in the tobacco tax.

Gas prices rose 13.4 per cent from the previous year.