Many feel holiday spending is ‘out of control’ but plan to blow budgets anyway

By: Jessica Mach on December 7, 2017

Canadians believe that “holiday spending is out of control”, but they have no plans to put away their credit cards this season.

A poll released by CIBC on Thursday found that Canadians expect to spend more money on holiday spending in 2017 than they did last year, and many are expecting to spend above their ideal budget.

The average amount of money that is being spent on gifts is $650 — an 8% jump from last year, according to the poll of 1,512 adults across the country. Survey participants also reported that they planned to spend an additional $300 on entertaining and other celebrations over the holiday season.

However, 52% of those polled said that they expect to exceed their holiday budgets, while 41% believe that they cannot afford to keep up with their projected expenses.

The data supports other recent polls, including one from cashback website, that found Canadians upping their holiday spending from last year. As was the case in 2016, consumer confidence is reportedly high in the last month of 2017.

The survey detailed another finding that was consistent with Thursday’s CIBC poll: many Canadians are planning to use rewards points to offset the season’s stressful barrage of expenses.