Canada’s Five-Year Household Consumption Outlook—April 2025

Canada’s Five-Year Household Consumption Outlook—April 2025

Business and Household Indicators Canadian Economic Analysis
12 min read

Author: Kiefer Van Mulligen

$225.00

This quarterly economic forecast presents the medium-term outlook for the Canadian economy. This release focuses on household consumption. For an overview of all major components of the economy, go to the Canadian Outlook main page.

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Consumers Trapped in the Grip of Tariffs

Amid tariff uncertainty by Canadians, the Index of Consumer Confidence fell to a record low in March 2025—below the record set at the start of the pandemic in April 2020.

What will be the impact of the U.S. tariffs and Canadian retaliatory measures on real household consumption by the end of 2025? How will low consumer confidence along with a weakened Canadian dollar and job losses affect spending habits in the medium term? What will be the impact of “buy Canadian” sentiments on tourism as well as Canadians’ spending habits?

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