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By the Numbers: Canadian Consumer Spending Keeps Growing Despite Pressures
Written by The Inspired Investor Team | Published on May 16, 2022
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This article is based on the RBC Economics report published on May 5 under the title “Household spending stays strong into May."
RBC Economics' latest Consumer Spending Tracker report shows that even soaring inflation, rising interest rates and global uncertainty have not derailed Canadian household spending growth into May. Spending in categories that had been hardest-hit during the worst days of the pandemic, like travel and hospitality, reached all-year highs in late April. Meanwhile, gas prices have shot up just as Canadians are showing renewed interest in cross-border travel.
Here are some key figures from the report that highlight how consumer spending has been shaped in recent weeks.
27.25%: Spending on high-contact services (such as restaurants and hotels) spiked this much above pre-COVID (2019) levels, its highest level this year.
10%: The volume of grocery transactions has stayed roughly this much above pre-COVID (2019) levels all year, suggesting that inflation hasn't undermined spending on food at home.
32.69%: Inflation pressures haven't taken a bite out of restaurant visits, either – it spiked this much above pre-COVID (2019) levels at the end of April.
$55.60: Canadians' average spend at the gas pump at the end of April. Canadians spent an average of $35 per transaction in April 2020, when prices were at their lowest in five years.
30%: Card transactions held this much above pre-COVID (2019) levels in April, carrying strong momentum into May.
38.7%: Canadian spending on local tourism jumped this much above pre-COVID (2019) levels at the end of April.
-9.5%: Tourism spending abroad increased to an all-year-high at the end of April, but remains this much below pre-COVID (2019) levels.
Find the full RBC Consumer Spending Tracker report at rbc.com/economics.
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