Increasing amount of Sask. residents say basic needs becoming less affordable: report
A rising amount of residents in Saskatchewan say affording basic necessities is becoming more difficult over time.
According to a recent Consumer Debt Index report released by MNP, 52 per cent of people in Saskatchewan and Manitoba said it is becoming less affordable to feed themselves and their family, compared to 50 per cent in December 2021.
Over the same timeframe, 47 per cent said it is more difficult to put money aside for savings – up eight percent. Forty per cent said it is more difficult to pay for transportation, up five per cent, while 39 per cent of people feel clothing is also more difficult to afford – a three percent increase from December of 2021.
“Households are having to put more money towards paying for basic living expenses as the cost of living rises and that is leaving less of a financial buffer which is critical to managing the impacts of interest rate hikes,” Pamela Meger, a licensed insolvency trustee with MNP LTD in Regina, said in a release.
However, the report revealed that fewer residents in the two provinces are finding themselves closer to insolvency, currently at 48 per cent compared to 53 percent last quarter.
Insolvency means a person is $200 or less away from not being able to meet all of their financial obligations.
“There has been a slight improvement in the number of individuals who are at risk of insolvency since last quarter, however, we do need to acknowledge that nearly half of Saskatchewan and Manitoba residents are still just $200 away from not being able to cover their bills and debt obligations,” Meger said. “Any future hikes to interest rates or the prices of basic necessities could chip away at the amount they have left over at month-end and push some individuals closer to insolvency.”
According to the report, one in three Saskatchewan or Manitoba residents expect their current debt situations to improve over the next year and far more people are now rating their personal debt situation as excellent. Fewer people are rating their credit situation as terrible, when compared to December of 2021.
“The economic situation here is still unfolding and it’s possible the optimism we are seeing here could be only temporary. We tend to notice the effects of interest rate hikes over time, so we may currently be seeing a false sense of optimism,” Meger said.
Data for the report was collected by Ipsos, a marketing research company, between Sept. 6-13, 2022. A sample of 2,000 Canadians 18 years and older were interviewed.
The report is accurate within +2.5 percentage points, or 19 out of 20 times, according to MNP.
CTVNews.ca Top Stories
There's actually no such thing as vegetables. Here's why you should eat them anyway
The rumours are true: Vegetables aren't real — that is, in botany, anyway. While the term fruit is recognized botanically as anything that contains a seed or seeds, vegetable is actually a broad umbrella term.
BREAKING Israeli forces seize Rafah border crossing in Gaza, putting ceasefire talks on knife's edge
Israeli tanks seized control of Gaza’s vital Rafah border crossing on Tuesday as Israel brushed off urgent warnings from close allies and moved into the southern city even as ceasefire negotiations with Hamas remained on a knife’s edge.
The Met Gala was in full bloom with Zendaya, Jennifer Lopez, Mindy Kaling among the standout stars
The Met Gala and its fashionista A-listers on Monday included Jennifer Lopez, Zendaya and a parade of others in a swirl of flora and fauna looks on a green-tinged carpet lined by live foliage.
'It looked so legit': Ontario man books $7,700 luxury villa on Booking.com, but the listing was fake
An Ontario man says he was charged more than $7,700 to book a luxury villa on a popular travel website -- but the listing was fake.
Noelia Voigt resigns as Miss USA, citing her mental health
Noelia Voigt, who was crowned Miss USA in November 2023, has announced she is resigning from her role, saying the decision is in the best interest of her mental health.
Putin begins his fifth term as president, more in control of Russia than ever
Vladimir Putin began his fifth term Tuesday as Russian leader at a glittering Kremlin inauguration, setting out on another six years in office after destroying his political opponents, launching a devastating war in Ukraine and concentrating all power in his hands.
Winnipeg man admits to killing four women, argues he's not criminally responsible
Defence lawyers of Jeremy Skibicki have admitted in court the accused killed four Indigenous women, but argues he is not criminally responsible for the deaths by way of mental disorder – this latest development has triggered a judge-alone trial rather than a jury trial.
Mediterranean staple may lower your risk of death from dementia, study finds
A daily spoonful of olive oil could lower your risk of dying from dementia, according to a new study by Harvard scientists.
An El Nino-less summer is coming. Here's what that could mean for Canada
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.