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Canadas annual inflation rate rises to 1.5 per cent in December Statcan

Signage mark the Statistics Canada offiices in Ottawa on July 21, 2010. Statistics Canada says 13.8 per cent of the population lived in low-income households in 2012. THE CANADIAN PRESS/Sean Kilpatrick
Signage mark the Statistics Canada offiices in Ottawa on July 21, 2010. Statistics Canada says 13.8 per cent of the population lived in low-income households in 2012. THE CANADIAN PRESS/Sean KilpatrickSean Kilpatrick/The Canadian Press
Economists had expected a bigger increase of 1.7 per cent yearoveryear in December.

Statistics Canada says the consumer price index in December was up 1.5 per cent from where it was a year ago, a higher rate of inflation compared with November's increase of 1.2 per cent.

Economists had expected a bigger increase of 1.7 per cent year-over-year in December.

Prices were up for seven of the eight major categories compared with a year earlier, with food being the one exception.

The transportation index was up 3.0 per cent in December compared with a year ago, while the shelter index rose 2.1 per cent.

In contrast, Statistics Canada says the price of food fell on a year-over-year basis for the third consecutive month. Prices for food in December fell 1.3 per cent compared with a year ago.

Statistics Canada says the pace of inflation increased in six provinces in December compared with November.