As the new year begins, one financial goal is paramount
As 2025 gets underway millions of Canadians will be concerned about the state of their finances, with borrowing for the holidays adding to their burden.
But a new year frequently brings goals and intentions into focus and, when it comes to their finances, Canadians have a clear priority according to a new survey from CIBC.
The Canadian big six bank’s Financial Priorities poll of 1500 Canadian adults reveals that paying down debt is the most cited priority for 2025, closely followed by keeping on top of bill payments. Borrowing for everyday expenses and due to the cost of living are the main reasons given for increased debt, followed by unexpected financial emergencies, a new vehicle, or loss of income.
But these ambitions come at a time of uncertainty about the economy with 65% of respondents remaining concerned about inflation and the cost of living and 28% about interest rates. Almost two thirds are worried about a possible recession although more than half believe their finances can withstand this along with any unexpected events.
More than half of those who took part in the poll expressed concern about job security in light of the current economy, and 24% say they could use some advice to prepare them for unexpected hardships.
"Financial priorities are shaped both by ambitions and by the economic environment – and we're seeing Canadians adapt to the current environment by learning new strategies, such as creating a budget or reducing spending, to help them stay on track," said Carissa Lucreziano, Vice-President, CIBC Financial Planning and Advice. "Prioritizing savings when costs are on the rise is challenging, but gaining insight from an advisor can empower Canadians with tailored, personalized advice and solutions to help them reach their financial goals."
