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Money woes: Canadians 'struggling' to make ends meet with rising housing, food costs

While some Canadians are comfortable, many are struggling financially more than ever.
woman credit card
For many Canadians, 2023 continues to bring financial stress.

The Bank of Canada is set to make its inflation rate decision on Wednesday, with speculations that another rate hike will occur. 

This alleged hike will likely further overwhelm nearly half of renters and mortgage-holders who are already struggling to make ends meet with expensive housing costs, finds a new survey from the Angus Reid Institute.

Since 2022, interest rates and inflation have affected all Canadians' living costs. 

The survey compared results from the previous year with the current year to explore the financial situations of Canadians.

Compared to 19 per cent of renters in 2022 who said they were having a "very difficult" time with paying their rent, that number increased to 24 per cent this year. Similarly, about seven per cent of homeowners in 2022 were struggling to pay their mortgage, while in 2023, that result jumped to 11 per cent.

The survey also found that many Canadians are relying on their credit to keep up with living costs, especially as these two necessities continue to rise due to inflation. Finding different financial means to stay afloat has resulted in consumer debt being at a record high. 

Nearly half of Canadians report being financially worse than they were a year ago. And a third of Canadians believe their financial situation will be even worse next year.