Canadians are heading into the new year with tighter budgets as grocery prices rise and more people look for help managing their bills.
The Credit Counselling Society (CCS) said the financial strain is showing up earlier than usual, with more households reaching out before holiday statements arrive.
Canada’s Consumer Price Index rose 2.2 per cent in November compared with a year earlier, but grocery prices increased at more than double that pace.
Grocery costs were up 4.7 per cent, the largest jump since December 2023, according to CCS.
CCS said the pressure is already leading more people to seek guidance. The non‑profit reports an 11‑per‑cent increase in counselling requests in November 2025 compared with the same month last year.
Those who reached out carried an average of $35,000 in unsecured debt, up from $31,000 a year earlier.
CCS president and CEO Peta Wales said many households are still struggling despite inflation appearing stable.
“Even though inflation appears stable at 2.2 per cent, many Canadians are still feeling the pinch in their daily lives,” Wales said.
She added that rising grocery costs and holiday spending are leaving families with less flexibility to manage debt.
The organization says the early rise in demand is a warning sign for January, when counselling spikes typically.
CCS says last year saw a 51‑per‑cent jump in people seeking help from December to January.
Isaiah Chan, vice‑president of programs and services at CCS, said the trend is likely to continue.
“Historically, counselling demand spikes in January after the holiday bills arrive,” Chan said.
He added that the early rise in requests suggests financial strain could reach unprecedented levels heading into the new year.
CCS advises Canadians to take proactive measures for budget management, including prioritizing essential bills, cutting holiday spending, and steering clear of high-interest credit.
The organization also recommends planning affordable meals and seeking guidance before bills pile up in January.
More information is available online or by calling 1‑888‑527‑8999.
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