Maple News reports that Canadian household spending declined in 2021 for the first time in over a decade, reflecting the lingering economic uncertainty caused by the COVID-19 pandemic. According to the latest annual Survey of Household Spending from Statistics Canada, the average household expenditure on goods and services was $67,126—down 2.7% from 2019. Taking into account a 4.1% inflation rate over the same period, this represents a real decline of 6.5% in household spending.
The pandemic played a central role in shaping spending behavior, significantly impacting categories such as transportation and recreation. However, some shifts are expected to have normalized in the years since, as national and global economies reopened and adapted.
Despite the overall decline, housing remained the largest expense for Canadian households in 2021, accounting for 31.4% of total spending. On average, families spent $21,106 on housing, a 4.5% increase from 2019, driven by rising shelter costs for both renters and homeowners. Renters, in particular, saw notable increases, with average shelter-related spending reaching $15,256—up 5.9%. Of this, an average of $13,060 went directly toward rent, marking a 6.8% increase from pre-pandemic levels.
Following housing, the second and third largest spending categories were food and transportation, which made up 15.4% and 15.0% of household expenditures respectively. These categories, while showing variable declines during the height of lockdowns, still remained core components of household budgets.
For newcomers to Canada, this data offers an important snapshot of living costs and can be a valuable tool for budgeting when planning a move. Understanding how much Canadians spend—and on what—can help immigrants set more realistic financial expectations and better prepare for life in Canada.
Overall, the 2021 data reflects a snapshot in time when many households were adjusting to pandemic limitations and economic uncertainty. While parts of consumer behavior may have since rebounded, this analysis offers crucial context in understanding household needs and priorities during a pivotal year.
Maple News will continue to monitor upcoming reports to track how household spending evolves in post-pandemic Canada.