Connect with us

News

Inflation: Half of Canadians' finances worse than last year – CTV News

Published

 on


As inflation rates soar to the highest they’ve been in Canada in forty years, nearly half of Canadians say that right now, they’re doing worse financially than they were at this time last year.

A further third say they expect things to get even worse in the coming year, the largest number of people to answer this way in more than a decade.

The numbers come from a new Angus Reid Institute (ARI) survey released Friday, which surveyed more than 5,000 Canadian adults between June 7 and June 13 on their financial standing and struggles.

The results shed light on the plight Canadians are facing coast to coast.

Currently, inflation is at a staggering 7.7 per cent higher than last year, according to Statistics Canada. The inflation rate hasn’t been this high since 1983, the year that Canada Day replaced Dominion Day.

TRENDING DOWN

The percentage of Canadians answering that they are worse off financially now than a year ago has been increasing steadily over the last few years. In 2018, only 29 per cent of Canadians said they were doing worse than the previous year. That number climbed to 32 per cent in the first quarter of 2020, then to 45 per cent in the second quarter of 2022.

It’s now the highest that it has been since ARI started tracking this specific question in 2010.

At the same time, the number of Canadians who said they were doing the same as a year ago plummeted, going from 54 per cent in 2018, to 44 per cent in 2020, to 36 per cent in the second quarter of 2022.

Interestingly, the percentage of Canadians who say they are doing better than the previous year jumped to 23 per cent in 2020, after years of hovering around 13-14 per cent. That number is now at 17 per cent.

When these results are broken down into the household income of the respondents, those who are in the upper echelons of income, making more than $200,000 annually, were much more likely to report that they were doing better than last year financially, at 26 per cent, and the least likely to report that they were doing worse, at 30 per cent.

On the other end of the scale, those making less than $25,000 per year were more likely to say they were worse off this year, at 51 per cent, and less likely to say they were doing better than last year, at 15 per cent — underlining how the rich are hurt less by shifts such as inflation, and the poor keep getting poorer as rising costs hit their wallets.

Only one in five Canadians said they expected things to improve a year from now, while a third anticipated things to get even worse.

“Residents in Saskatchewan voice the most pessimism and least optimism on this question,” the report stated.

COST OF LIVING IS EXORBITANT FOR MANY

Concerns about the cost of simply living is the one that consumes the time and energy of most Canadians, with food, housing and bills driving a huge amount of financial worries across the country.

When asked what the top provincial issues were, with respondents being able to choose up to three options, “cost of living/inflation” was overwhelmingly the most popular selection, with 63 per cent of respondents selecting it as a major issue.

Health care and housing affordability took second and third place at 52 per cent and 31 per cent respectively, with climate change and the environment coming in at fourth with 26 per cent.

“Some regions of the country are under more economic stress than others,” the report stated. “In Atlantic Canada, the cost of living was already higher than most other parts of the country last year. And Newfoundland and Labrador, Nova Scotia, and New Brunswick have experienced higher rates of inflation than other provinces, alongside Manitoba and British Columbia.”

When it comes to the country as a whole, more than half of those who rented said that it’s difficult to afford their rent.

For homeowners, monthly mortgage payments are on the rise after a series of interest rate increase by the Bank of Canada. One quarter of Canadians with a mortgage say prices have already gone up, while another half said they anticipate a price jump. Two thirds say that if their payments increased by $300 a month, they might not be able to afford it anymore.

“The challenge for many, as pandemic-era supports are removed, and some struggle with repayment of the CERB they received, is to avoid debt creation,” the report stated, noting that many Canadians are already struggling with debt.

Two in five Canadians said they had credit card debt.

Of those who scored high on the ARI Economic Stress Index and were classified as “struggling” on that index, 62 per cent had credit card debt, and three-in-five of this group said it would take them more than a year to pay it off.

The Economic Stress Index, created in January, looks at core costs related to quality of life, such as debt, housing and household food costs, as well as the respondents’ anxieties and assessments of their own finances, to map out who is having a harder time.

There are four categories: struggling, uncomfortable, comfortable, and thriving. The proportion of those who are “thriving” has dropped six points since May, while the number of those who “struggling” has risen three points in that time period. Some good news is that 29 per cent of Canadians fit into the “comfortable” category compared to 26 per cent in May.

“A majority in each of the Atlantic provinces fall under the Struggling or Uncomfortable categories,” the report stated, with 55 per cent in Nova Scotia and 64 per cent in Newfoundland and Labrador falling into one of these two categories.

Across the country, in most provinces, more than half of the respondents fell into the one of the bottom two categories, with 64 per cent in Newfoundland and Labrador, 59 per cent in Alberta, 62 per cent in Saskatchewan, 57 per cent in Manitoba, 55 per cent in Nova Scotia and 54 per cent in Ontario. Prince Edward Island was not included in the survey.

“Only in Quebec (61 per cent) and B.C. (52 per cent) do more than half fall into the top two categories on the ESI,” the report stated. “Notably, by Statistic Canada’s CPI, those provinces have the lowest cost of living of any province in the country.”

The province with the single highest percentage of Canadian respondents deemed to be “thriving” was Quebec, with a whopping 30 per cent.

Just over 75 per cent of Canadians said their province had done a poor job of handling inflation.

Around one in three Canadians said their costs due to purchasing gas had increased, while just under half stated that those costs had gone down for them because they were consciously avoiding driving and seeking out other forms of transportation to save money.

FOOD PRICES LEAVING SOME HUNGRY

The report noted that inflation affects some goods more harshly than others.

“Food inflation was 10 per cent in May, higher than the 7.7 per cent inflation rate overall,” the report said.

Just over half of Canadians surveyed reported struggling to make the grocery bill each month, with the report noting that this is seven points higher than last October.

And the lower your tax bracket, the harder it is to put food on the table. Seven out of ten Canadians making less than $25,000 a year said it is difficult to feed themselves and their family, while at least one third of all incomes reported finding it hard to budget for food.

One B.C. resident told The Canadian Press that her grocery bill has more than doubled. Food Banks Canada are concerned that more and more children — who make up a third of those who rely on food banks — could be going hungry this summer as school ends and access to school-based food programs is cut off.

Earlier this month, NDP leader Jagmeet Singh called out MPs for laughing in the House of Commons after he spoke about Canadians being unable to afford groceries. In a video Singh posted of the incident, laughter can be heard after he states that one in four Canadians are going hungry.

“I just mentioned that Canadians are hungry and I hear laughter in the chambers,” Singh said after the Speaker asked him to repeat himself. “They should be ashamed of themselves. Absolutely ashamed.” He stated on social media that those who were laughing were Conservative MPs.

TRUST IN INSTITUTIONS

Amid rising inflation, the Bank of Canada is meant to keep the impact on Canadians to a minimum through policy adjustments, but Canadian trust in this institution is split, according to the survey. While 46 per cent said they trusted the Bank of Canada, 41 per cent said they did not.

When the political leanings of survey respondents were taken into account, the results became more stark: Past supporters of the Conservative party and the People’s Party of Canada were less likely to trust the Bank of Canada, with 59 per cent and 86 per cent indicating this respectively.

The Bank of Canada has admitted that it made missteps, and is now playing catch-up as Canada’s economy overheats.

Adblock test (Why?)



Source link

Continue Reading

News

Stable weather allows fire crews to focus on containment of B.C. wildfires

Published

 on

Crews battling the wildfire that has forced the evacuation of more than 500 properties in British Columbia’s southern Okanagan are taking advantage of calm winds and stable conditions to bolster fire lines.

The BC Wildfire Service says the the wildfire covers 68 square kilometres southwest of Penticton, with most of the recent growth due to planned ignitions needed to create the control lines.

An update from the wildfire service says newly created control lines are “holding well.”

It says a key objective is to continue mop-up work along Highway 3A in an effort to reopen the route connecting Keremeos and the evacuated community of Olalla with towns further north.

Crews are keeping a close eye on weather conditions as a storm approaches from Washington state, bringing showers later this week and possible lightning strikes on Wednesday.

The wildfire service has recorded 564 blazes since the season began, 58 of them in the last seven days, and lists the fire danger rating as high to extreme on Vancouver Island, the entire B.C. coast and across the southern quarter of the province.

Of the eight wildfires of note currently burning in the Kamloops and Southeast fire centres, only the blaze near Penticton continues to keep residents out of their homes.

None of the other seven have grown significantly in recent days and the wildfire service website says the roughly three-square-kilometre fire in grasslands northwest of Kamloops is now listed as “being held,” allowing crews to finish building control lines.

Wildfires of note are either highly visible or pose a threat to people or properties.

This report by The Canadian Press was first published Aug. 9, 2022.

 

The Canadian Press

Continue Reading

News

Warrant issued for man in Amber Alert, Saskatchewan children believed to be in U.S.

Published

 on

REGINA — Saskatchewan RCMP say an arrest warrant has been issued for a convicted sex offender at the centre of an Amber Alert for two children.

Police say seven-year-old Luna Potts and eight-year-old Hunter Potts, along with their mother, are believed to be in South Dakota with 50-year-old Benjamin Martin Moore.

“We are very concerned about the well-being of those children,” RCMP Chief Supt. Tyler Bates said Tuesday.

“We feel they are in danger.”

Bates said Moore has a history of sexual offences against children and was previously convicted of sexual interference with a minor.

Moore now faces a charge of failing to report information within seven days of changing his address, which is required for convicted sex offenders.

RCMP said Moore was being investigated by social services when he left with the children and their mother.

Officers went last week to their home in Eastend, southwest of Regina, to question Moore but found it abandoned.

Police issued the Amber Alert on Monday evening for the girl and boy. Bates said RCMP enacted the alert after social services received an apprehension order for the children.

Bates did not say why police believe Moore crossed the border into the United States, but said RCMP were looking to extend the Amber Alert into South Dakota.

Moore is described as being five feet 10 inches tall and weighing 200 pounds with black hair.

Police also said Moore, the children and their mother may be travelling in a 2015 dark blue Chevrolet Equinox with the Alberta licence plate CGC 2492.

Police have received a slew of tips in the case.

Bates said officers have also been contacted by a person who is believed to be a victim and encouraged any others to come forward.

Court records show Moore was convicted in 2009 for sexual interference of a minor. He was sentenced in Regina provincial court to two years and two months in prison.

Records also say he served another three months in jail in 2011 after he was convicted of breaching a recognizance order.

This report by The Canadian Press was first published Aug. 9, 2022.

 

Mickey Djuric, The Canadian Press

Continue Reading

News

Senegalese diplomat arrested by Quebec police owed former landlord more than $45,000

Published

 on

MONTREAL — The detention and alleged beating of a Senegalese diplomat by Quebec police last week occurred while a bailiff was attempting to seize property at her residence in connection with a court judgment against her.

Quebec’s rental board in June ordered Oumou Kalsoum Sall to pay a former landlord more than $45,000 for damage to a furnished home she occupied from Nov. 1, 2018, to Oct. 31, 2020. The tribunal found that she caused flooding that led to structural damage and that her use of the property forced its owner, Michel Lemay, to replace most of his furniture.

“The pictures speak for themselves,” Anne A. Laverdure, an administrative judge, wrote in her ruling. “The furniture is full of cockroaches. Pieces of furniture are scratched and scuffed. Some are missing. Everything is dirty.”

Laverdure awarded Lemay almost $13,500 for structural damage to the home and $23,000 to replace furniture. The administrative judge awarded Lemay another several thousand dollars for other damages.

Court records show that the debt was not paid and that a bailiff went to Kalsoum Sall’s residence in Gatineau, Que., across the river from Ottawa, on Aug. 2 to seize property in connection with the debt.

Kalsoum Sall is a first counsellor at the embassy of the Republic of Senegal in Ottawa, according to a federal government database of foreign delegations. The Senegalese Ministry of Foreign Affairs has claimed that the diplomat had to be hospitalized after being handcuffed and beaten by police.

Quebec’s independent police watchdog said Monday it opened an investigation into the incident. Gatineau police have said that they were called to the residence to assist a bailiff and that they arrested a woman with diplomatic status after she allegedly hit a police officer in the face, adding that she was tackled to the ground after allegedly biting another officer.

Global Affairs Canada has described the incident as “unacceptable,” adding that the 1961 Vienna Convention on Diplomatic Relations — which Canada has signed — gives diplomats immunity from any form of detention or arrest.

Gilles Rivard, a former Canadian ambassador to the United Nations and to Haiti, said that while he doesn’t know exactly what happened during the Aug. 2 incident, some diplomats can be aggressive because they believe there will be no consequences for their actions.

“They can be aggressive because they know that they have immunity, so they believe that they can do whatever they want,” he said in an interview Tuesday.

While police are not officially supposed to arrest a diplomat, Rivard said, it’s possible a police officer might handcuff an individual while they wait to confirm the person’s diplomatic status.

“But if after that, that person shows that she is a diplomat, or he is a diplomat, normally they have to be released,” he said.

In 2001, a Russian diplomat struck and killed a woman while driving in Ottawa. The Canadian government asked Russia to waive the diplomat’s immunity so he could be charged in Canada, but Russia refused, Rivard said, adding that Canada’s only option in that case was to expel the diplomat.

Rivard said he doesn’t think the Aug. 2 incident is serious enough to damage Canada’s very good relationship with Senegal.

The Senegalese Embassy in Ottawa did not immediately respond to an emailed request for comment Tuesday afternoon. A call to the embassy was not answered.

This report by The Canadian Press was first published Aug. 9, 2022.

 

Jacob Serebrin, The Canadian Press

Continue Reading

Trending