Financial Strain Grows as Half of Atlantic Canadians Struggle to Pay Bills

Financial vulnerability is escalating across Atlantic Canada, with a recent report revealing that half of the surveyed residents are within $200 of being unable to pay their monthly bills. This alarming finding comes from MNP LTD, a firm specializing in debt solutions, reflecting the increasing economic pressures faced by many households in the region.

According to Tina Powell, a licensed insolvency trustee with MNP LTD, the situation has forced many families into difficult choices. During an interview on The Todd Veinotte Show, Powell stated, “About half of Atlantic Canadians who were surveyed are in significantly vulnerable situations.” She emphasized that one-third of respondents have already eliminated all non-essential items from their budgets.

The survey data indicates that 58 percent of participants have adjusted their grocery shopping habits, utilizing strategies such as bulk buying, couponing, and price matching. Furthermore, half of the respondents are avoiding impulse purchases, while nearly 47 percent have ceased dining out or ordering takeout.

As Powell noted, “They’re already having to decide are they going to reduce their utility expenses or their grocery shopping.” This stark choice underscores the precarious financial state of many households in the region.

Utility Costs and Consumer Backlash

The financial strain is compounded by recent announcements from major utility companies regarding impending price increases. In May, Halifax Water requested approval from the province’s regulatory board to raise rates by 16.2 percent in the fiscal year 2025-26 and by another 17.6 percent in 2026-27, totaling a staggering 36.6 percent. The company cites inflation and significant operational deficits as the reasons behind the increases.

In September, Nova Scotia Power revealed a deal with customer representatives that would lead to average power rate hikes of 2.1 percent across all customer classes in 2026 and again in 2027. These announcements have sparked widespread backlash from both customers and government officials, who are concerned about the increasing burden on households.

The latest consumer index shows that approximately a third of Atlantic Canadians have already cut back on their utility consumption. Powell warns that as households grapple with their finances, many may resort to credit options to supplement their incomes. She stated, “Even households that were in a solid position, if they’re going down that path, there’s going to be less money for the necessities and more money is going to debt repayment.”

Survey Methodology and Implications

The data for this report was collected by Ipsos on behalf of MNP LTD between September 4 and September 9, 2025. A total of 2,001 Canadians aged 18 and over participated in the survey. Ipsos employs a credibility interval to measure the accuracy of its online polls; in this case, the findings are accurate to within ±2.5 percentage points.

As Atlantic Canadians navigate these challenging economic conditions, the implications of financial strain extend beyond individual households. The growing reliance on credit and the need to make difficult budgeting decisions underscore the urgent need for policy makers to address these pressing issues. The situation calls for a comprehensive approach to support vulnerable populations and mitigate the impact of rising costs on families throughout the region.