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HST blamed for cost of living hike in Ottawa

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Date: Friday Aug. 20, 2010 11:46 AM ET

The Harmonized Sales Tax is being blamed for a big jump in the cost of living in Ontario and some other parts of the country. In Ottawa, the inflation rate jumped from 1.7 per cent to 3 per cent.

The hike corresponds with the introduction of the controversial HST, which the Ontario government promised would bring the price down on many products.

Only clothing and footwear registed a decrease.

Nationally, the rate jumped a little less than expected from one per cent to 1.8 per cent.

Energy and electricity prices were up between eight and 10 per cent.

Comments are now closed for this story

Ian
said

Why do people keep voting for this guy?


Doug
said

Watch as Dalton opens up his wallet as the election approaches and begins shovelling out the new found loot... starting with education (salaries) then health care (salaries).

Same old crap.

Bring back Mike Harris!


Reener
said

Prediction: the media will stir up another red herring like the funding for religious schools, raise some sort of irrational fear about the opposition, and this will lead to another election where people either refuse to vote or vote for the devil they know. For once, dear media, could you report on the records of the current guy instead of drumming up boogeymen that don't exist? Please, Please??!! The voting public is lazy and also isn't smart enough to do the homework themselves.


Roger
said

All you liberal voters, you asked for this! He screwed with Ontario voters during his first term, and everyone was so quick to forget and they re elected him! The same will hold true this election! Time to get these liberal voters a clue, look at what he has done to us!!!! TAX, AFTER TAX, AFTER TAX!!!!!!! THAT IS ALL LIBERALS KNOW HOW TO DO!!!!!!!!!!!!!!


Elias Nasrallah
said

The HST is being blamed for a big jump in the cost of living in Ontario? REALLY!!! I could have told you this before it even happened. Mr. McGuinty does not care people. He scammed us before and he will keep on scamming us. Get rid of him once and for all next election. I just wish that Mr. Hudak would grow a backbone and chastise Mr. McGuinty. He has done more than just scam us. He lied to us and he will continue to do so. SMARTEN UP Mr. McGuinty!!!


Krista
said

Am I the only one that's surprised it's only 3 percent? According to our Microsoft Money files we've gone up 9% in our usual spending since the HST went in, and I can promise you we have become more frugal in our spend.

Our daycare raised it's charges $2 a day to cover their additional costs due to HST, our athletic membership costs have gone up as they try and cover the costs of their utilities, our utilites are hitting us harder, and our average spend on day to day things has increased.

I'm waiting to see the benefit here, but I'm not holding my breath.

Sadly, this story won't hit the national news, it will be overshadowed by the one up on the CTV main page right now that says the overall inflation was less than the econmists expected.


karen l.
said

The McGuinty government’s HST theory was that big business was going to pass their tax cuts on to consumers. Not surprisingly they didn’t, leaving consumers with the short end of the stick.

McGuinty is driving up the costs of living with his HST and Eco tax, but wages aren’t keeping pace. These taxes are putting a big dent in family budgets, and forcing people out of their homes.

Dalton went on radio yesterday bragging Ontario has cleaner, greener more efficient energy!
The guy has no idea how to
run a business...giving taxes raised from us to pay the windmill and solar "farmers" only caused hydro rates to go
up by 30% !



Dave Clarke Ottawa
said

As a contractor we were only required to charge 5% gst on the final product installed. The pst was included in the cost of materials and not seen on the invoice. NOW we charge 8% on our labour and the final bill shows both. People now want a deal or pay cash. The underground economy will boom. The one thing the feds have been trying to curb, and McGuinty is just fueling the fire. Let the feds go after McGuinty for the loss of tax revenue.


Donnie Brasco
said

The cost of life in Ottawa is so unbalanced when you look at employment opportunities and real estate costs. Unfortunately the market here seems to be based on the lucky folks working for government who work little and make a tone in salaries. Not everyone in this town are fortunate enough to have mom, dad, big brother or sister in the government get them a job paying them 60k to 70k to work between 10am and 1pm on a daily basis. But we all have to pay outrageous rents or mortgages to live in this town. I lived in Toronto for 10 years and never thought that living in Ottawa would be more expensive! It is!


Bubba gives McGuinty his notice - YOU'RE FIRED
said

Wow, Big Surprise there. Good thing is, when we back out the HST next year, and toss McGuinty out on his @ss at the same time, our cost of living will go down by 3 percent.

Hey Dalton, better spruce up your resume, this is 14 months notice that you are fired! You mess with us, steal our money, lie to us, WE REMEMBER that for a long long time.

You are history pal!


Freddie
said

I agree. I am a Liberal, but there is noooooo way I am voting for this guy ever again.



Rose
said

I think they should review the hst tax! its crap and our economy isn't recovered yet. It was a bad time to place any tax hikes. ROSE FROM OTTAWA


Jim
said

I am not surprised at this result as many necessities such as gasoline, cable/internet services and utilities are now taxed. This has gone beyond "harmonization" of previous taxes.


Parallax Abstraction
said

Only Dalton McGuinty would be thick enough to impose a new tax in a down economy rather than heaven forfend, cut anything or get his government's out of control spending under control.

As far as I'm concerned, anyone who votes him in again in the next election loses the right to complain about taxes. I'm by no means a man of the provincial Conservatives either but McGuinty's arrogance and fiscal ineptitude is killing the province's prospects while also taking more of our money. He needs to go.


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