Summertime and the livin' is (even more) expensive: CIBC Poll

Spending plans hold steady to last year through strategies to counter inflation and higher rates 

TORONTO, July 31, 2023 /CNW/ - Inflation is the buzzword of the summer but it's not changing the ambitions of many Canadians who plan to budget and stretch dollars to keep their plans for summer fun on track, a new CIBC poll finds.

Canadians are planning to spend on items and activities similar to last summer, and most (73 per cent) are optimistic they'll be able to live within their means despite the vast majority (92 per cent) experiencing everyday cost increases, according to the poll.

To achieve that, most respondents (81 per cent) say they have a budget for their summer activities. Most people (77 per cent) expect their spending to change with rising inflation and are looking for ways to stretch their dollar further by reducing everyday spending (44 per cent), searching for deals (31 per cent), putting off large purchases (28 per cent) and switching from brand-name products to lower cost options (27 per cent).  

Outside of everyday items such as gas and groceries, the top categories where Canadians expect to spend the most money this summer are:

• Food and dining
• Travel
• Home or cottage expenses
• Renovations and landscaping

"Summertime is when Canadians typically spend the most money and given inflation and higher interest rates, it isn't surprising to learn that they are looking for ways to stretch their budget this season," said Carissa Lucreziano, Vice-President, Financial and Investment Advice, CIBC. "Creating your budget, looking for ways to make your dollar stretch further and getting to know the benefits associated with your credit card rewards program are a few easy ways to help you make the most of your money while still having a lot of fun this summer."

Top expenses Canadians are most looking to better manage:

• Dining out (including takeout/delivery)
• Clothing
• Entertainment (shows, concerts, movies)

"A smart spending plan can help to free up money for the things that really matter. A budget will provide you with a clear picture of your household income and expenses so you can make confident decisions on whether to save, invest or spend on summer fun," added Lucreziano

Other key poll findings:

• 83 per cent of Canadians are concerned about the state of the economy further worsening
• 76 per cent of people say they are concerned about the recession
• 43 per cent of respondents say they plan to fund their summer spending through their regular paycheque.

Disclaimer

This Maru Public Opinion survey was undertaken between June 26-27, 2023 by the sample and data experts at Maru/Blue and involved 1,543 randomly selected Canadian adults who are Maru Voice Canada online panelists. For comparison purposes, a probability sample of this size has an estimated margin of error (which measures sampling variability) of +/- 2.5%, 19 times out of 20. The results have been weighted by education, age, gender, and region (and in Quebec, language) to match the population, according to Census data. This is to ensure the sample is representative of the entire adult population of Canada. Discrepancies in or between totals are due to rounding.

About CIBC  

CIBC is a leading North American financial institution with 13 million personal banking, business, public sector and institutional clients. Across Personal and Business Banking, Commercial Banking and Wealth Management, and Capital Markets businesses, CIBC offers a full range of advice, solutions and services through its leading digital banking network and locations across Canada, with offices in the United States and around the world. Ongoing news releases and more information about CIBC can be found at
www.cibc.com/ca/media-centre.

SOURCE CIBC

Kira Smylie, CIBC Communications & Public Affairs, 416-980-2949 or [email protected]