Buying a home, car, big vacation, or other large expense will have to wait according to Angus Reid poll
More Canadians are delaying major purchases as the focus remains on keeping food on the table and bills paid.
New data from Angus Reid shows that the share of respondents who say now is not the time to spend on large items including a house, renovations, car, or big vacation, has increased to three quarters from 56% two years ago.
The share of respondents who do think now is a good time to make a major purchase has halved in the past two years. Those in BC are most likely to be prepared to spend, but only with an 18% share.
Financial struggles
With inflation taking a larger share of Canadian household budgets, a significant minority report being in financial dire straits: 28% say they are barely keeping their head above water, up 10 percentage points since 2020.
The percentage reporting that they are in great shape financially and able to handle anything that comes over the longer term is just 17%, while 55% say their finances are good but remain concerned about the long-term outlook. In April 2020, 61% said their finances were good.
Younger Canadians (18-54 years old) are most likely to say their finances are in bad shape (31%) including 6% who cannot manage. Women aged 35-54 are most likely to be struggling (42%).
Only around 15% of men and women over 55 say their finances are in bad shape with 60% reporting that they are good and one in five in great shape.
Regional variations
Financial anxiety is not evenly distributed across the country.
Two-in-five (40%) in Manitoba say they are in poor financial health, the highest nationwide, while more than one-third in Saskatchewan (36%) and Atlantic Canada (36%) are also in this position.
Meanwhile, more than three-quarters (77%) in Quebec say they are in good or great shape financially, the highest share across Canada.
Most respondents say they are following news reports about inflation and the Bank of Canada’s plans to address it, but around half are not confident that the central bank is making the right decisions. Higher income brackets are most likely to say this.
