Consumer Price Index Shows Rising Cost of Travel

Statistics Canada has released the Consumer Price Index for July 2026. In a surprise to no one who has been out of their house this summer, everything, including travel, is more expensive than it has been.

The overall consumer price index in Canada for July rose 3 percent year over year (y.o.y.) — slightly more than the 2.8 percent y.o.y. increase in June. StatsCan credits at least part of the increase to the rising cost of travel.

Travel tours specifically rose steeply. Year over year, July 2026 prices increased 15.2 percent over July 2025, which was a far faster pace than in June, which weighed in at 6.8 percent higher, y.o.y. The report cites more expensive hotels and flights to US destination cities, coinciding with the hosting of World Cup matches as a contributing factor for the higher prices. 

Air transportation prices also increased — 12 percent in July compared with last year — but the increase was not as dramatic when compared with the month before, which had a year over year increase of 9.6 percent. Contributing to the price increase were higher jet fuel costs.

Travellers opting for road trips weren’t spared from the higher costs either. The report indicates that on a yearly basis, prices for gasoline grew at a faster rate in July (up 25.7 percent) compared with June, which was up 20.5 percent. StatsCan pointed to the conflict in the Middle East, including the blockade of the Strait of Hormuz and the partial closure of Red Sea shipping routes in late July, as putting upward pressure on gasoline prices. 

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