What you need to know
The COVID-19 pandemic has affected consumer confidence and perception of financial and spending levels. As the economic toll continues, delinquency rates, unemployment and financial stress continue to rise among certain segments such as lower income earners and those employed in sectors affected by the pandemic. More financially vulnerable Canadians have also been disproportionately impacted in terms of pandemic debt, so face a harder time recovering financially. Income support from the government continues in the form of CRB (Canada Recovery Benefit) and to a lesser extent industry relief measures have helped prop up the finances of affected Canadians. On the other hand, wealthier households have built up a significant wealth and savings cushion over the past year, making them well positioned to unleash spending and fuel an economic recovery once the pandemic is over. So there is room for optimism that a strong economic recovery will follow the pandemic.
Key issues covered in this Report
The impact of COVID-19 on consumer finances and priorities.
This Report explores consumers’ personal finances, spending habits, use of financing products/services, financial priorities, financial literacy and consumer confidence. Given the economic impact of COVID-19, we also explore its effect on the personal finances of Canadians at this time when the pandemic is still going strong.
This Report was written between December 28, 2020 and January 25, 2021.
