According to the Consumer Price Index (CPI), consumers in Newfoundland and Labrador paid 4.4% more for goods and services in May 2026 than in May 2025.

Prices increased in most major categories in May 2026 compared with May 2025, led by the ‘Energy’ composite index, reflecting the recent surge in crude oil prices.

• In May 2026, ‘Energy’ prices rose by 25.7% after an increase of 21.6% in April 2026, on a year-over-year basis. This reflected significant increases in ‘Fuel oil and other fuels’ (+59.7%) and ‘Gasoline’ (+36.4%).
  • These increases were driven by higher oil prices. The price of Brent crude oil, which averaged US$107.14 per barrel in May 2026, increased by 66.2% compared with May 2025. This increase was primarily due to the conflict in the Middle East.
  • The year-over-year price increase for gasoline in May was also influenced by the switch to the more expensive summer blend. However, the federal fuel excise tax was removed on April 20, 2026, slightly moderating the increase in gasoline prices.
• Prices for ‘Transportation’ increased by 9.5%, driven by higher fuel prices.
• Prices for ‘Shelter’ increased by 5.0%.
  • There was an increase in the ‘Rented accommodation’ index (+5.3%), which includes rent costs, and an increase in the ‘Owned accommodation’ index (+1.9%), which includes mortgage interest costs. While the mortgage interest cost index is not available for Newfoundland and Labrador, it declined at the national level in May 2026 (-0.2%).
  • Shelter price changes were also impacted by higher prices for both ‘Fuel oil and other fuels’ (+59.7%) and ‘Electricity’ (+6.9%). Electricity rates in Newfoundland and Labrador increased by an average of 7.0% for residential consumers, effective July 1, 2025, as implemented by Newfoundland Power, the province’s primary electricity retailer.
• ‘Food’ price increases continued to moderate, increasing by 2.1% in May 2026 compared with May 2025, after a year-over-year increase of 2.4% in April 2026. Prices increased for both ‘Food purchased from stores’ (+2.4%) and ‘Food purchased from restaurants’ (+1.5%).
  • Price increases for food purchased from stores were largely attributable to higher prices for ‘Meat’ (+4.8%), ‘Vegetables and vegetable preparations’ (+4.7%), and ‘Fruit, fruit preparations and nuts’ (+2.7%). Prices also increased significantly for ‘Fresh or frozen beef’ (+16.9%) and ‘Coffee and tea’ (+11.6%). These increases were partly offset by negative price growth for ‘Sugar and confectionery’ (-3.1%), ‘Eggs’ (-1.9%), and ‘Cereal products’ (-1.8%).

The ‘All-items excluding energy’ index increased by 2.2% in May 2026 compared with May 2025.

At the national level, the CPI rose by 3.2% on a year-over-year basis in May 2026 compared with May 2025. Among provinces, the highest inflation rate was 5.2% in Nova Scotia, while the lowest was recorded in Ontario (+2.6%).

On a seasonally adjusted basis, consumer prices in Canada increased by 0.5% from April to May 2026. Seasonally adjusted CPI data are not available for Newfoundland and Labrador.

The United States CPI for all urban consumers increased by 4.2% in May 2026 compared with May 2025. The seasonally adjusted series increased by 0.5% in May 2026 compared with April 2026.

On a year-to-date basis, consumers in Newfoundland and Labrador paid 3.0% more for goods and services in the January to May 2026 period compared with the same period in 2025, led by higher prices for ‘Energy’ (+7.8%) and ‘Food’ (+4.6%).

Year-Over-Year Change in CPI, May 2026 vs. May 2025