Nova Scotians most concerned about their current debt level among all provinces amid ongoing economic uncertainty

• More than half are concerned about their ability to repay debt, even if interest rates decline (56%, +9 pts).
• Significant drop in Atlantic Canadians who believe they can cover all living expenses in the next year without needing more debt (48%, -14 pts)
• Nearly half say they fear rising interest rates could drive them toward Bankruptcy (49%, +15 pts).
• Atlantic Canadians are the most likely to report feeling stuck living paycheque to paycheque (39%) and say they are constantly putting out financial fires (32%).
• Atlantic Canadians are the most likely (32%) to be putting off important life goals, such as buying a home, starting a family, or changing careers.

HALIFAX, NS – July 14, 2025 – More than half of Atlantic Canadians (54%) say they are concerned about their current debt level according to the latest MNP Consumer Debt Index. This marks the highest level among all provinces, increasing a significant 10 points from the previous quarter. Significantly fewer Atlantic Canadians this quarter believe they will be able to cover all living expenses in the next year without taking on more debt (48%, -14 pts), the largest drop among the provinces, as the high cost of living and economic uncertainty weigh on households. Atlantic Canadians are the most likely among the provinces to say they are constantly putting out financial fires, facing one unexpected cost after another (32%). More than a quarter say they feel stalled — having to put their lives on hold (28%).

“With so many Atlantic Canadians concerned about their debt and fewer able to cover their expenses without taking on more, it’s understandable that households are feeling stalled by strain and delaying key life decisions,” says Tina Powell, a local Licensed Insolvency Trustee with MNP LTD. “Many are stuck in a financial holding pattern, hesitating to move forward as they navigate ongoing economic pressures and unpredictable global volatility.”

Uncertainty and the cost of living are translating into day-to-day financial strain. Atlantic Canadians are the most likely (39%) to report feeling stuck living paycheque to paycheque, compared to those in other provinces. Two in five (39%) report feeling anxious or stressed about their financial situation, and more than a third (36%) say they are feeling more cautious with how they manage their money due to current financial pressures.

“Atlantic Canadians are uniquely struggling — they’re the most likely to be living paycheque to paycheque,” says Powell. “Vulnerable households that are making careful choices and delaying major decisions may still be struggling to get ahead amid the current uncertainty around costs and income, despite two interest rate pauses.”

Atlantic Canadians are the least likely among the provinces to have reduced discretionary spending (29%), be increasing savings or building emergency funds (25%), or prioritizing debt repayment (21%), despite mounting financial pressures. At the same time, they are the most likely (32%) to be putting off important life goals, such as buying a home, starting a family, or changing careers.

Significantly more Atlantic Canadians this quarter say they are concerned rising interest rates could drive them toward Bankruptcy (49%), increasing 15 points, despite interest rates holding steady twice this year. More than half of Atlantic Canadians (56%) are concerned about their ability to repay their debts even if interest rates decline, increasing nine points since last quarter. Two in three say they desperately need interest rates to go down (67%, -5 pts).

“Anxieties around interest rates have persisted for a lot of individuals,” says Powell. “Years of climbing costs and shrinking savings have left many with concerns about what might still happen.”

Future debt expectations are cautiously optimistic but far from uniform. Nearly a third of Atlantic Canadians (31%, +4 pts) expect their debt situation to improve one year from now, and a larger proportion (38%, -4 pts) believe it will improve in five years. However, nearly one in five (say they expect their debt situation to worsen one year from now, and a similar proportion (15%, unchanged) believe it will worsen in five years.

Meanwhile, Atlantic Canadians’ perceptions of their current debt situation have taken a step back. Fewer this quarter (35%, -4 pts) rate their debt situation as excellent, and more (19%, +4 pts) rate it as terrible. This suggests that many still feel under pressure, even as some express cautious optimism about the future.

While many continue to feel under pressure, there are signs that some Atlantic Canadians are beginning to regain a modest sense of financial control. The average amount households have left at the end of the month has increased to $1028, up $229 from last quarter. This marks the highest amount recorded since tracking began in 2017, possibly signalling that more Atlantic Canadians are building a financial buffer in case of further economic disruption.

“This is a modest but encouraging sign that some households may be starting to rebuild financial resilience,” says Powell. “In today’s uncertain climate, even small gains in stability can be meaningful.”

However, a significant proportion of Atlantic Canadians remain on precarious financial footing.

“Nearly one million Atlantic Canadians say they are close to financial insolvency each month,” says Powell. “Even a minor disruption can push things into crisis when you’re living on the edge financially.”

More than a third of Atlantic Canadians (37%, -7 pts) report they are $200 or less away from financial insolvency each month. This includes a quarter (24%, -2 pts) who say they are financially insolvent. Half of Atlantic Canadians (50%, -3 pts) say they regret the amount of debt they have taken on.

Powell urges those feeling overwhelmed by debt or financial pressure to speak with a Licensed Insolvency Trustee. Licensed Insolvency Trustees can provide unbiased advice on the full range of debt relief options available and administer personalized solutions to help individuals regain control of their finances.

“Speak with a Licensed Insolvency Trustee if you’re unsure of how to move forward or are feeling overwhelmed by debt,” says Powell. “Whether you’re missing payments, dealing with collection calls, or simply feeling unsure about your financial next steps, it’s not about judgment — it’s about finding real, practical debt relief solutions based on your unique situation.”

Powell says it’s a sure sign it’s time to ask for help if financial stress is causing sleepless nights. “Debt stress can be incredibly isolating, but you’re not alone in this situation. The sooner you reach out for help, the more options you may have.”

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. Licensed Insolvency Trustees are the only federally regulated debt professionals who can assist with all the debt relief options, including Consumer Proposals and Bankruptcy, stop harassment from debt collectors, and discharge people from debt.

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-third wave, the Index has held firm at 88 points — the same level as last quarter. Visit MNPdebt.ca/CDI to learn more.

The data was compiled by Ipsos on behalf of MNP LTD between June 9 and June 13, 2025. 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 ±2.5 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.