New year, new increasing costs. Do we ever get a break living in Vancouver?
Here are the items that could hurt your bank account in 2023.
Gone are the days of the pandemic rent freeze. The annual allowable rent increase for 2023 is set at 2%.
Interest on loans, including mortgages
The Bank of Canada increased the prime rate in the latter half of 2022, meaning interest now accrues more quickly on loans — and if you have a variable-rate mortgage, that means your housing costs will be affected.
Vancouver has a complete ban on plastic bags and increased the minimum fees for paper and reusable bags on January 1. Paper bags now cost $0.25, and reusable bags must now cost $2.
Hotels and Airbnbs in tourist hotspots
Now that international tourists can visit Canada again, you may see more competition for your favourite vacation rental.
It’s not all in your head — prices at Canadian grocery stores really have jumped in recent months, according to Statistics Canada. Inflation is playing a role, although a Toronto Star investigation last summer suggested some grocery chains were hiking prices even higher to increase profits.
Every year on April 1, federal liquor taxes increase with inflation. This year the increase is pegged at 6.3%.
Although the electricity provider decreased rates in 2022, it plans to raise them by 2% on April 1, 2023.
With inflation so high last year, many service-providing businesses may adjust their rates this year. Whether it’s your gym membership or your lash technician’s fee, expect some higher charges this year compared to last. However, economic forecasters with TD predict inflation in Canada has peaked and expect it will slow down in 2023 and 2024 now that interest rates have risen.