Around 14.6 million Canadians are currently insolvent—unable to afford bills and debts with their income, according to the MNP Consumer Debt Index, conducted by Ipsos — one of the most cited sources for assessing Canadians' finances.
The latest report, from January 15, covering Q4 2024, found that 35% of surveyed Canadians reported being broke — unable to meet their financial obligations with current income.
“The rise in consumer insolvencies last year highlights the severity of the financial pressures many Canadians are experiencing, exacerbated by rising living costs and economic instability,” said André Bolduc, chair of the Canadian Association of Insolvency and Restructuring Professionals in a statement on February 5, noting 2024’s 15-year high of 375 insolvencies per day.
“Canadians are facing mounting debt loads alongside a persistently high cost of living. Everyday essentials like groceries still cost more than they did in the past, leaving many Canadian households grappling to manage their budgets.”
Also, the MNP survey indicated that 50% of respondents were worried about their ability to pay off debts. This aligns with earlier 2021 data where 53% of Canadians were within $200 of insolvency, suggesting a persistent trend of financial hardship.
According to the Food Banks Canada’s HungerCount 2024 report, released in October 2024, there were 2,059,636 visits to food banks across Canada in March 2024, marking the highest number ever recorded.
