A new CIBC survey finds Canadians are hoping to enjoy summer but most (80 per cent) are concerned about the impact of rising inflation on their ability to enjoy themselves this summer season.
Canadians expect to spend approximately $1,900 this year on summer activities, which is an increase of $400 from 2021, and most of those who expect to increase their spend (76 per cent) name inflation as the leading cause.
Typical summer spending includes:
- Every day items such as groceries, gas, etc.
- Dining out
- Travel
- Renovations and landscaping
- Home or cottage expenses
A majority of Canadians (62 per cent) say they are finding it harder than ever to save money, with 58 per cent feeling they have a lot less in their bank account at the end of the month vs. previous years. Having less spending power than usual has 64 per cent of respondents seeking new strategies to lessen the impact of inflation this summer.
Top strategies Canadians plan to implement:
- 36 per cent plan to coupon or actively look for deals
- 33 per cent plan to adhere more strictly to a budget
- 30 per cent plan to switch from using brand name products to lower-cost options
“Inflation is a hot topic this summer and it may seem like the cost of living is rising with the temperature, which is why it’s important for people to stay on top of their spending,” said Carissa Lucreziano, Vice-President, CIBC Financial and Investment Advice. “Many people head into the summer months with every intention of sticking to a budget, but can find it difficult to follow. CIBC’s website offers a number of great tools to help keep Canadians on track.”
Other key poll findings:
- 81 per cent of Canadians expect every day items, such as groceries, to be a top spending category this summer
- 72 per cent of people are cautious about the activities they plan to enjoy this summer
- 57 per cent are more interested in spending on experiences than physical items
- 41 per cent intend to fund their summer spending through their regular paycheck
- 34 per cent of people stick to their budget very closely
Upcoming virtual event:
CIBC regularly hosts virtual events to help Canadians deal with topics such as investing, estate planning, goal-setting and more. The next virtual event series, on Aug 10 and 24, focuses on the ups and downs of the market, and how rising interest rates and inflation have many Canadians questioning their investment decisions. Our experts will share investment strategies and advice to help guide attendees on how to stay on track towards their financial goals. To register, visit: https://cibcvirtual.com/smartadviceexpressevents?itrc=M654:5&