Kids are feeling the pinch of Canada’s cost of living crunch, poll finds
Canadian families are still strapped for cash even as inflation cools and interest rates start to trend lower, new polling released Wednesday suggests.
Canadian families are still feeling financial strain even as inflation eases and interest rates trend lower, according to new polling released on Wednesday.
Ipsos polling, conducted exclusively for Global News, reveals that children are particularly affected by the rising cost of living.
The survey, which gathered responses from over a thousand Canadians between August 23 and 26, found that more than 60 percent of participants (63 percent) are concerned about their ability to handle unexpected expenses of $1,000 or more. This concern increases to 72 percent among parents.
About 43 percent of Canadians are anxious about having enough money to feed their families, a decrease of 10 points from December of last year, according to Ipsos. However, 54 percent of parents still express significant worry.
One-third of parents reported they are telling their children "no" more frequently due to the higher cost of living. Additionally, 30 percent of parents said they have reduced their back-to-school spending, and 16 percent are cutting back on their children's participation in organized sports.
Furthermore, 63 percent of respondents fear that economic difficulties will force them to delay future plans such as traveling, buying a home, or starting a family.
Nearly half of those surveyed (48 percent) are concerned they won’t be able to pay off their entire credit card bill, and a quarter said they have been using savings to make ends meet.
Others reported continuing to cut back on dining out (55 percent), postponing purchases like new clothes (43 percent), reducing holiday spending (36 percent), and buying fewer fresh vegetables, fruits, and meats (27–28 percent).
This ongoing financial stress persists despite annual inflation rates cooling to 2.5 percent as of July and the Bank of Canada reducing its benchmark interest rate by a cumulative 50 basis points since June.
The central bank is expected to make another rate decision on Wednesday.