Inflation eases to 2.8 per cent in June, but Toronto residents say prices still feel high

Canada's inflation rate dropped to 2.8 per cent in June from 3.2 per cent in May, but many Torontonians say they haven't felt the relief at the cash register. Gasoline prices fell 20.5 per cent year-over-year in June compared to 33.2 per cent in May, while grocery inflation—which has surpassed all other cost-of-living categories for 17 consecutive months—edged down to 3.9 per cent from 4.3 per cent.

When NOW Toronto hit the streets to ask locals how the inflation easing was affecting them, the response was mixed. Steven H., a Toronto resident, said he hasn't noticed the decrease at the pump. "I have definitely not noticed it at the pump. I mean, it's been going up and down, pretty consistently," he said. When traveling, he said gas is increasingly expensive despite the survey results showing it's decreased.

Alec C. said he hasn't noticed higher gas costs because he's cut back on driving, opting instead for public transit and active transportation. But he has noticed groceries becoming more expensive, so he's cut out chips and snacks to save money. "I don't think they have the same value anymore. You don't really find them to be super cheap or on sale as much," he said.

When asked whether they'd prefer a 20 per cent discount on groceries or a 20-cent per litre discount on gas, all residents surveyed chose groceries. "You don't necessarily need to drive, but you need to eat," was the common sentiment.

The disconnect between official inflation figures and how residents feel highlights the persistent pressure on household budgets, particularly for essentials like food.