Canadian retail sales decreased by 0.4 per cent to $70 billion in December compared to the previous month. Retail sales were marginally lower compared to the same last year. Furthermore, core retail sales, which exclude gasoline and automobile items, decreased by 0.3 per cent in December. In volume terms, adjusted for rising prices, retail sales were unchanged in December. Overall, retail sales increased by 4.0 per cent in 2025 and rose by 2.3 per cent in volume terms.

Retail sales in British Columbia were down 0.5 per cent in December month-over-month and rose by 2.6 per cent compared to the same time last year. In the CMA of Vancouver, retail sales were up 0.6 per cent from the prior month and were 3.6 per cent above the level of December 2024. 

A weak December print rounds out a year of retail sales characterized by volatility and resilience. While rising 4.0 per cent year-over-year, retail activity in December was just 0.5 per cent above the level in January 2025 amidst monthly oscillations. Nonetheless, Canadian retail sales demonstrated resistance to weak economic conditions and broader uncertainty throughout the year. We expect the Bank of Canada to hold once again in March as they have signaled for a quiet year pertaining to monetary policy changes.

Copyright British Columbia Real Estate Association. Reprinted with permission.