MNP Consumer Debt Index: Nova Scotians experiencing financial whiplash as economic uncertainty persists

Nearly three-quarters say rising food and gas prices are straining their finances.

HALIFAX, NS – April 13, 2026 – Many Atlantic Canadians are feeling the effects of ongoing economic uncertainty as conditions continue to evolve, reshaping household behaviours. More than half (55%) say they are experiencing financial whiplash as shifting conditions repeatedly disrupt their financial plans, according to the latest MNP Consumer Debt Index. Nearly three-quarters (74%) say rising prices for essentials like food and gas are straining their finances. Seven in 10 (71%) say they are cutting back on spending, and over four in five (85%) 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 Atlantic Canadians view their financial progress and future plans. Nearly two-thirds (64%) say they feel they are working harder financially but not getting ahead. Seven in 10 (71%) say they are delaying major financial decisions because of unpredictable conditions.

“Many households across Atlantic Canada are not just feeling financial pressure — they are trying to adjust to shifting financial conditions. This can make it increasingly difficult to budget and plan ahead,” says Tina Powell, a local Licensed Insolvency Trustee with MNP LTD. “The rising cost of everyday essentials and broader global uncertainty are outside of an individual’s control, creating a sense of financial whiplash. Those unpredictable conditions can make it harder to stay on track financially, absorb unexpected expenses, or move forward with larger financial decisions over time.”

Atlantic Canadians’ net personal debt rating increased to 14 points (+4 pts) this quarter, marking a modest shift in how individuals in the region perceive their debt situation. However, this slight shift in sentiment does not necessarily mean underlying financial pressures have eased. Many households continue to navigate an economy where financial challenges persist without a clear endpoint.

One in five Atlantic Canadians (22%, +2 pts) say their debt situation has improved compared to a year ago, while nearly one in five (16%, -1 pt) say it has worsened. These relatively small shifts suggest progress remains limited for many households. Financial challenges continue to weigh on many Atlantic Canadians despite a slight improvement overall, particularly as day-to-day financial flexibility remains constrained.

The average amount Atlantic Canadians have left at the end of the month has dropped to $874, down from $995 last quarter. This suggests a decline in overall financial flexibility, which is accompanied by continued financial vulnerability. More than two in five (42%) Atlantic Canadians report being $200 or less away from financial insolvency each month, up three points from last quarter. Nearly a third (27%) say they do not earn enough to cover their bills and debt payments, up five points from the previous quarter.

While the Bank of Canada’s recent decision to hold its key rate at 2.25 percent may ease distress for some Atlantic Canadians, two-thirds (66%, -5 pts) still say they need interest rates to go down. More than half (52%, -6 pts) fear financial trouble if interest rates rise, and two in five (44%, -4 pts) are concerned that rising interest rates could move them toward Bankruptcy. About half (49%, -6 pts) remain concerned about their ability to repay their debts, even if interest rates decline. Only one in five (20%) say they could absorb an additional $130 in monthly interest payments, while nearly a third (33%) say they could not absorb this increase.

“Many Atlantic Canadians are still feeling the effects of higher borrowing costs and remain uncertain about what lies ahead, even with interest rates holding steady for now,” says Powell. “Households already managing tight budgets may be impacted by even small changes in rates or expenses. This makes it difficult to keep up or plan with confidence.”

These ongoing financial challenges are also reflected in how Atlantic Canadians are approaching tax season.

Nearly a quarter of Atlantic Canadians (23%) say they expect to owe taxes they are unable to pay, the highest proportion among all provinces. This includes one in 10 (12%) who will delay paying, as they need more time to figure out how they will come up with the funds, and a similar proportion (12%) who say they will need to borrow or go into debt to meet their obligations. These are both the largest shares among all provinces. One in 10 (11%) 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 put additional pressure on households already managing tight finances,” says Powell. “Owing money may mean delaying payments, drawing on savings, or taking on additional debt for some Atlantic Canadians. A higher proportion of residents in this position compared to other regions highlights continued financial pressure on many Atlantic Canadian households.”

Powell 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.

“It can be a sign that financial pressures are building when people start relying more heavily on credit or stretching to cover everyday expenses,” says Powell. “Taking a step back to assess your financial situation can help identify where adjustments may be needed and what options are available. This can help individuals regain a sense of stability, regardless of what’s happening in the economy.”

“Speaking with a Licensed Insolvency Trustee can help bring clarity for those who may be feeling overwhelmed,” Powell says. “These conversations provide a clear understanding of all available options in a non-judgmental, supportive environment, so individuals can 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.