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Canadians Burdened by Soaring Food, Rent Costs: Poll
Key Findings of the Poll
Almost half of Canadians (49%) say rising food prices are a financial burden.
45% of Canadians report struggling to afford their rent or mortgage.
Nearly one-quarter (23%) of Canadians have cut back on essential expenses like food and medicine due to financial constraints.
Rising Food Costs
The poll, conducted by Angus Reid, found that Canadians are increasingly concerned about the rising cost of food. 49% of respondents said that food prices are a financial burden, up from 39% in a similar poll conducted in May 2022. The increase in food costs is being driven by a number of factors, including:
Extreme weather events, such as droughts and floods, which are disrupting global food production.
Supply chain disruptions, which are making it more difficult and expensive to transport food.
Increased demand for food, as the global population continues to grow.
Pandemic-related factory shutdowns and labor shortages.
The war in Ukraine, which has disrupted grain exports from the region.
Rising Rent Costs
Canadians are also facing rising rent costs. 45% of respondents said that they are struggling to afford their rent or mortgage, up from 38% in May 2022. Rent increases have been particularly sharp in major cities. The average rent for a one-bedroom apartment in Toronto is now over $2,000 per month. In Vancouver, the average rent for a one-bedroom apartment is over $2,500 per month. The rising cost of rent is due to a number of factors, including:
Low supply of housing, as construction has not kept pace with demand.
High demand for housing, as more people move to cities.
Increased investment in real estate by investors, which has driven up prices.
Pandemic-related factors, such as low interest rates and government stimulus, which have made it easier for people to afford to buy homes.
Impact on Canadians
The rising cost of food and rent is having a significant impact on Canadians. Nearly one-quarter (23%) of Canadians have cut back on essential expenses like food and medicine due to financial constraints. Others are taking on additional debt to make ends meet. A recent report by the Canadian Payroll Association found that the average Canadian household is now carrying over $20,000 in debt.
The rising cost of living is also having a negative impact on mental health. A recent study by the Mental Health Commission of Canada found that over half of Canadians are now experiencing anxiety or depression. The study also found that those who are struggling financially are more likely to experience mental health problems.
Government Response
The Canadian government has taken some steps to address the rising cost of living. In April 2022, the government introduced a number of measures, including:
A one-time payment of $500 to low- and middle-income Canadians.
A 10% increase in the GST credit, which is a tax credit for low- and middle-income Canadians.
A boost to the Canada Child Benefit, which is a monthly payment to families with children.
The government has also announced plans to invest in affordable housing and to increase the supply of housing.
Conclusion
The rising cost of food and rent is a major challenge for Canadians. The government has taken some steps to address the issue, but more needs to be done to help Canadians make ends meet.