Many Canadians "lack financial drugs" according to a new survey conducted by Angus Reid, which found that the majority of participants under the age of 55 cannot afford unexpected expenses exceeding $1,000.

The Angus Reid survey said: "With housing costs continuing to rise after this period of high interest rates, renters and mortgage holders feel the pressure."

This financial anxiety is exacerbated by the fact that half of those surveyed in the same age group are worried about losing their jobs.

The main survey findings include:

  Canadians reported having less financial savings than two years ago

  Most renters and mortgage holders could not manage unexpected expenses of $1,000

  2 out of 5 participants usually do not contribute to a TFSA or RRSP

  Half of those under 55 are worried about losing their jobs

  Canadian Conservative Party voters are likely more anxious about money and the possibility of job loss

Women aged 35 to 54 are more likely to have reported an inability to manage any unplanned bills, with a quarter saying they are "already very financially stressed."

40% of people surveyed said they do not contribute to a Tax-Free Savings Account (TFSA) or Registered Retirement Savings Plan (RRSP) because they "do not have enough to save."

High interest rates are putting pressure on mortgage holders, with 29 percent saying that an unexpected $250 expense "would break the bank."

John Locke, marketing director at the Credit Counseling Association, a non-profit organization that offers financial advice to indebted Canadians, said his office was flooded with calls in January this year.

Locke told CTV News: "The past few years have definitely been busier," as the number of people they see drowning in unaffordable costs has increased."

Locke added that rising costs of food, gasoline, housing, and debt servicing are putting pressure on household budgets.

He said: "With people unable to pay their expenses or repay their lines of credit, we are seeing rising rates of delinquency."

The Angus Reid survey goes on to say that "Bank of Canada's campaign against high inflation appears to have at least slowed the rise in living costs."

With the economy slowing, the independent research firm says there is evidence that Canadians expect a recession with "further declines in spending and job losses."

Half of the survey participants under 55 fear that they, or a family member, will lose their job.

The survey said: "The last time fear of job loss was at this high a level was during the uncertainty at the beginning of the second year of the pandemic."

The online survey reached a random representative sample of 1,620 Canadian adults on January 16 and 17. Angus Reid said that a sample of this size carries a margin of error of +/- 2 percentage points.