MNP Consumer Debt Index: British Columbians navigating financial whiplash as economic conditions continue to shift

Seven in 10 say rising food and gas prices are straining their finances.

VANCOUVER, BC – April 13, 2026 – Many British Columbians continue to navigate the effects of ongoing economic uncertainty as conditions continue to shift, reshaping household behaviours. More than half (52%) say they are experiencing financial whiplash as changing conditions repeatedly disrupt their financial plans, according to the latest MNP Consumer Debt Index. Seven in 10 (70%) say rising prices for essentials like food and gas are straining their finances. Two-thirds (67%) say they are cutting back on spending, and over four in five (83%) are more cautious about taking on new debt as ongoing cost pressures and uncertainty drive conservative financial decision-making.

These pressures are also shaping how British Columbians view their financial progress and future plans. More than half (56%) say they feel they are working harder financially but not getting ahead. Nearly two-thirds (63%) say they are delaying major financial decisions because of unpredictable conditions.

“Many households across British Columbia are adjusting to conditions that continue to change, often faster than they can plan for,” says Linda Paul, a Licensed Insolvency Trustee with MNP LTD in the Lower Mainland. “That sense of financial whiplash can make it difficult to feel financially stable or in control, especially when high everyday costs and broader economic uncertainty are largely outside of an individual’s control. This can make it harder to manage unexpected expenses or move forward with larger financial decisions over time.”

The average amount British Columbians have left at the end of the month has risen to an all-time high of $1,245, up from $1,025 last quarter and the highest amount among all provinces. However, these gains are not being felt equally across all households. While fewer British Columbians this quarter report being $200 or less away from financial insolvency each month, more than a third (37%, -8 pts) still report being in this position. A quarter (24%, -2 pts) say they do not earn enough to cover their bills and debt payments.

While the Bank of Canada’s recent decision to hold its key rate at 2.25 percent may ease distress for some British Columbians, more than half (55%, -8 pts) still say they need interest rates to go down. Two in five (41%, -14 pts) fear financial trouble if interest rates rise, and a similar proportion (39%, -8 pts) is concerned that rising interest rates could move them toward Bankruptcy. Two in five (40%, -11 pts) remain concerned about their ability to repay their debts, even if interest rates decline. Only a quarter (26%) say they could absorb an additional $130 in monthly interest payments, while nearly a third (30%) say they could not absorb this increase.

“Many British Columbians remain uneasy about what comes next, even with rates holding steady for now,” says Paul. “Households that are already managing tight budgets may have limited room to absorb higher borrowing costs or maintain them at current levels.”

British Columbians’ net personal debt rating jumped to 25 points (+12 pts), a significant increase from the previous quarter. This marks a notable shift in how individuals in the province perceive their debt situation. However, this shift in sentiment does not necessarily mean underlying pressures have fully eased. Many households continue to navigate an economy where financial challenges persist without a clear endpoint.

A quarter of British Columbians (27%, +5 pts) say their debt situation has improved compared to a year ago, while nearly one in five (15%, -7 pts) say it has worsened. This suggests some households are seeing progress, though financial challenges remain for many households.

These financial pressures are also reflected in how British Columbians are approaching tax season.

One in 10 British Columbians (10%) say they expect to owe taxes they are unable to pay. This includes less than one in 10 (7%) who say they will need to borrow or go into debt to meet their obligations, and a proportion (3%) who will delay paying, as they need more time to figure out how they will come up with the funds. Fewer than one in 10 (7%) say they expect to owe taxes and will need to dip into savings or money set aside for other purposes to pay these taxes.

“Tax season can test household finances,” says Paul. “Some British Columbians may use a refund to catch up on bills or reduce debt. Others may find themselves needing to draw on savings or take on additional credit to meet their tax obligations, which can increase financial strain over time.”

Paul says that turning to additional debt to cover expenses and obligations can be an early sign that financial pressures are increasing, and that it may be time to review your financial situation.

“The next steps are not always clear when finances start to feel unpredictable,” says Paul. “However, it can be a useful point to pause and reassess when you find yourself leaning more on credit or making trade-offs to stay on top of expenses. There are still steps people can take to better understand their situation, regardless of the broader economic environment. This includes looking at what’s coming in, what’s going out, and identifying opportunities to relieve pressure.”

“Speaking with a Licensed Insolvency Trustee can help bring clarity for those who feel uncertain,” Paul says. “These conversations help individuals understand their full financial picture in a supportive, non-judgmental setting, so they can explore realistic options and move forward with a plan that reflects their circumstances.”

Licensed Insolvency Trustees are the only federally regulated debt professionals in Canada who can assist with all the debt relief options, including Consumer Proposals and Bankruptcy, stop harassment from debt collectors, and discharge people from debt. They work with individuals to understand their unique circumstances and explore a range of solutions, from adjusting payment plans and negotiating with creditors to formal debt relief options.

MNP’s national team of Licensed Insolvency Trustees offers free consultations across the country to help severely indebted Canadians get unbiased debt advice, understand their rights, and determine the best path forward.

About MNP LTD

MNP LTD, a division of the national accounting firm MNP LLP, is the largest insolvency practice in Canada. For more than 50 years, our experienced team of Licensed Insolvency Trustees and advisors have been working with individuals to help them recover from times of financial distress and regain control of their finances. With more than 240 offices from coast to coast, MNP helps thousands of Canadians each year who are struggling with an overwhelming amount of debt. Visit MNPdebt.ca to contact a Licensed Insolvency Trustee or use our free Do-it-Yourself (DIY) debt assessment tools. For regular, bite-sized insights about debt and personal finances, subscribe to the MNP 3-Minute Debt Break Podcast.

About the MNP Consumer Debt Index

The MNP Consumer Debt Index measures Canadians’ attitudes toward their consumer debt and gauges their ability to pay their bills, endure unexpected expenses, and absorb interest-rate fluctuations without approaching insolvency. Conducted by Ipsos and updated quarterly, the Index is an industry-leading barometer of financial pressure or relief among Canadians.

Now in its thirty-sixth wave, the Index remains at 87 points, unchanged from last quarter. Visit MNPdebt.ca/CDI to learn more.

The data was compiled by Ipsos on behalf of MNP LTD between March 10 and March 11, 2026. For this survey, a sample of 2,000 Canadians aged 18 years and over was interviewed. Weighting was then employed to balance demographics to ensure that the sample's composition reflects that of the adult population according to Census data and to provide results intended to approximate the sample universe. The precision of Ipsos online polls is measured using a credibility interval. In this case, the poll is accurate to within ±2.7 percentage points, 19 times out of 20, had all Canadian adults been polled. The credibility interval will be wider among subsets 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.