Lower-income Canadians and those with disabilities face greater financial pressure due to rising costs
Statistics Canada revealed that nearly half of Canadians (45 percent) reported that rising prices significantly impacted their ability to cover day-to-day expenses in spring 2024.
This figure marks a 12-percentage point increase from 33 percent two years earlier. These findings come from the latest cycle of the Canadian Social Survey, conducted between April 19 and June 3, which focused on indicators from the Quality of Life Framework for Canada and the effects of rising prices.
The survey explored how increasing costs are affecting Canadians' daily living expenses, their concerns about housing affordability, their likelihood of relying on community organizations for food, financial stress levels, and the relationship between financial stress and overall quality of life.
Compared to two years earlier, concerns about housing affordability have grown significantly. In spring 2024, 38 percent of Canadians expressed serious concern about their ability to afford housing or rent due to rising prices, up from 30 percent in 2022.
The persistent rise in food prices has also placed additional financial pressure on households, with 23 percent of Canadians indicating they are somewhat or very likely to seek food or meals from community organizations over the next six months, a slight increase from 20 percent two years ago.
Financial stress remains a widespread issue, with 35 percent of Canadians in spring 2024 describing most days as quite or extremely stressful due to financial concerns. This is slightly higher than the 33 percent who reported similar levels of stress in 2022.
Rising prices have particularly affected lower-income Canadians. In spring 2024, nearly 59 percent of individuals in the lowest income quintile reported that rising prices greatly affected their ability to meet daily expenses, compared to just 27 percent in the highest income quintile.
Housing affordability is a significant concern among lower-income Canadians, especially renters. In spring 2024, 48 percent of those in the lowest income quintile expressed deep concern about housing affordability, with renters being more likely than homeowners to report such worries.
The survey also highlights that renters generally face greater financial difficulties and report lower life satisfaction than homeowners.
Individuals with disabilities are particularly vulnerable to the financial pressures of rising prices. In spring 2024, 57 percent of persons with a disability reported that rising prices significantly impacted their ability to manage daily expenses, compared to 43 percent of those without a disability.
Additionally, over 40 percent of individuals with disabilities expressed serious concern about housing affordability and described most days as stressful due to financial issues, higher than the percentages reported by those without disabilities.
Financial difficulties are closely linked to lower quality of life. Among those who reported high levels of financial stress, only 17 percent expressed high life satisfaction, compared to 70 percent of those with lower stress levels.
Similarly, those experiencing greater financial stress were less likely to have a hopeful outlook on the future.
