27% increase on mental health claims in young adults amid 'economic uncertainty: Manulife CEO
Canadians are increasingly stressed about their financial situations, as the cost of living weighs on many people’s mental health, according to a new report.
FP Canada released its 2023 Financial Stress Index Thursday highlighting that for the sixth consecutive year, money continues to be the main source of stress for Canadians, impacting 40 per cent of respondents.
Results come amid elevated levels of inflation coupled with high prices for gas and groceries, the report said.
“Canadians continue to struggle with their financial picture, and financial stress can have a significant impact not only on financial well-being but also on mental health,” Tashia Batstone, the president and chief executive officer of FP Canada, said in a news release.
The survey also found that 36 per cent of respondents experienced mental health challenges, like anxiety or depression, associated with their financial stress.
Additionally, 48 per cent of respondents reported losing sleep over their finances this year, an increase from 43 per cent last year.
The survey found that inflation, specifically elevated gas and grocery costs, were key factors adding to the financial stress of those surveyed.
“As Canadians struggle to afford groceries, gas and other goods and services, nearly half (48 per cent) have less disposable income compared to a year ago, a substantial increase from 2022 (39 per cent),” the press release said.
The survey also found that Canadians are struggling to save, as 35 per cent of respondents reported concerns regarding retirement savings and 32 per cent stated concerns about saving for a major purchase.
“Younger generations are also more likely to feel the pinch, and Canadians aged 18-34 are the most concerned about saving for major purchases (50 per cent),” the release said.
ABOUT THE SUREThe Financial Stress Index is conducted each year by FP Canada and Leger, a Canadian market research and analytics firm. Results were compiled between March 29 and April 7 using online responses from 2,004 Canadians.