BC residents are turning to bill splitting strategies most often: the Consumer Debt Index

It may not come as a surprise to British Columbians, but the rising cost of living in the province is forcing some to make heavy sacrifices.

According to the latest MNP Consumer Debt Index, conducted quarterly by Ipsos, “British Columbians are more likely than any other province (38%) to report that they have turned to splitting their bills – such as carpooling, buying in bulk , sharing subscriptions and childcare, and living together with others.”

The report shows that one in five British Columbians, 20 percent, more than in any other province, say they save money by living with friends or relatives or by living with roommates.

British Columbians, about 35 percent, say they eat less to save money.

“We are seeing a boom in bill splitting in B.C. and across the country as people adjust to the high cost of living,” Linda Paul, a licensed trustee with MNP LTD in the Lower Mainland, said in a statement.

“These cost-saving approaches, such as expense sharing and co-living, underline the adaptability of British Columbians while also indicating the severe financial pressures they are under. What is particularly worrying is that British Columbians are among the people most likely to skimp on food just to make ends meet.”

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More than half of British Columbians surveyed said they have tried to save money by shopping more strategically and avoiding impulse purchases.

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Nearly two in five say they will no longer eat in or take out from restaurants.

However, British Columbians also report that falling interest rates have allowed them to save a little more money in the bank: an average of $277 per month.

Nearly two in five (37 percent) of British Columbians said they were $200 or less away from financial insolvency every month – a significant drop of 10 points from last quarter.

“Cost-cutting measures and falling interest rates have certainly eased some of the financial pressure, giving some British Columbians more room to maneuver,” Paul added. “But with almost two in five still on the brink of insolvency, it is clear that others are still struggling with ongoing financial challenges.”

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Despite tapering interest rate cuts, nearly 50 percent of British Columbians surveyed said they are concerned about their ability to repay their debts.

More than half said they would face financial difficulties if interest rates rose.

“Inflation is declining and interest rates are falling, but many British Columbians are still burdened by the debt they have taken on,” Paul explains.

The data was collected by Ipsos on behalf of MNP LTD between September 6 and 11, 2024. A sample of 2,000 Canadians aged 18 and older were interviewed for this study. Weighting was then used to balance the demographics, to ensure that the composition of the sample reflected that of the adult population according to the Census data, and to obtain results intended to approximate the sample universe. The accuracy of Ipsos’ online polls is measured using a credibility interval. In this case, the survey is accurate to within ±2.5 percentage points 19 times out of 20 if all Canadian adults had been surveyed. The credibility interval will be wider among subgroups of the population. All sample surveys and polls may be subject to other sources of error, including but not limited to coverage error and measurement error.

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