Gas hike pushes N.L. to top of list for cost of living increase

Statistics Canada says Newfoundland and Labrador led the country with its cost of living increase in June, and higher gas taxes are to blame.

The federal agency said on Friday that the Consumer Price Index in this province rose 2.4 per cent over the same month in 2015 — following a 1.5 percent gain in May.

Statistics Canada said this is mostly due to a 2.9 per cent increase in the gasoline index, and a 19.5 percent increase in gas prices that took effect in June, mainly because of an increase in the province's gasoline tax.

The provincial Liberals doubled the 16.5 per cent gas tax as a temporary measure to help deal with a projected $1.83-billion deficit.

Across the country, the Consumer Price Index rose in six provinces, with housing, food and transportation all costing more.

Nationally, the cost of living was up 1.5 per cent from last June.