Since the pandemic, we’ve weathered energy shocks, rent hikes, food price surges, and the kind of grocery checkout moments that make you do a double take. And just when it seemed things couldn’t get tighter, interest rates and utility bills decided to join the party. But the latest Ipsos Cost of Living Monitor (2025) hints at something we haven’t felt in a while: relief.
Not joy. Not comfort. But a little less tension in the shoulders.
Around the world, more people are saying they’re “doing alright” financially (37% globally, up from 33% last year). That’s a small win - but one that still comes with an undercurrent of worry. Because even as we start to catch our breath, most of us are quietly asking: for how long?
44% of Canadians say they’re financially comfortable, but concern remains
Let’s start with the good news: more people say they’re managing okay. The Ipsos report spans 30 countries, and the headline is surprisingly positive: 37% of people now say they’re living comfortably or at least doing fine, up from 33% last year.
Here in Canada, 44% of people say they’re “comfortable” or “doing alright” financially. Still, that doesn’t mean anyone is feeling carefree. Food and rent remain the biggest stress points for most households and rising mortgage payments continue to squeeze those with variable rates. Everyday life may feel a bit more stable, but it’s still expensive.
For example, in other countries surveyed like France and Sweden, many expect their disposable income to shrink in the coming months. And while Canadians are slightly more optimistic, one in three (33%) still expect their standard of living to decline over the next year.
So yes, things feel better than last year. But Canadians, like many others, are still waiting to see if that calm will last. It is progress wrapped in uncertainty.
Inflation: the lingering worry
If 2022 was the year everyone became an expert on inflation, 2025 is the year we’re still talking about it.
In Canada, 62% of people believe inflation will rise again in the next year - up seven points from 2024. Even though the official inflation rate has cooled since its peak, most Canadians say it doesn’t feel that way when they’re at the grocery store or paying the utility bill.
And honestly, it’s hard to blame anyone for feeling skeptical. Sure, inflation might be “under control” on paper, but most of us don’t feel that at the checkout counter. Groceries, gas, and housing costs remain higher than before the pandemic, putting strain on many Canadians’ budgets. Food prices are up around 3.8% year-over-year, while rents have risen roughly 4.8%, and even fluctuating gasoline costs add pressure. Despite some easing in overall inflation, managing daily expenses amid these persistent costs means that “getting by” remains a constant balancing act.
It’s what some call “inflation fatigue”: we’re not panicking anymore, but we’re not celebrating either.
Still feels like a recession, doesn’t It?
Even when economies show signs of growth, many people still feel like they’re in a recession. That’s true here in Canada, too. Despite steady job numbers and cooling inflation, 45% of Canadians believe the country is in recession - compared to 28% who think it isn’t. It’s less about the national picture and more about the realities of the monthly budget - bills, savings, and that shrinking bit of “extra.”
When everyday life still feels tight, talking about “economic recovery” can sound distant.
The “Uneasy Decade” Continues
If you’ve followed Ipsos’ research since 2022, you’ll recognize this theme: uncertainty has become a defining part of life.
The 2025 results show that Canadians, like people elsewhere, are adapting. We’re finding ways to manage higher costs, whether that means cutting back, switching brands, or delaying big purchases. But confidence hasn’t fully returned.
So yes, we’re coping better. But there’s still an underlying sense that the ground could shift again at any time.
Over to you: How are you Feeling?
That’s what makes our community so special - your voices help make sense of what the numbers really mean.
Do you feel like things are improving for you personally? Are you more optimistic this year, or are you still tightening the budget?
Share your thoughts in our next survey and help shape how we understand the cost of living around the world. Because while the data tells one story, your experiences make it real.
*Source: Ipsos Study, conducted on 23,772 adults 18-75 y.o., across 30 countries, interviewed between Friday, August 22, and Friday, September 5, 2025.
