Number of Canadians relying on charities increasing due to rising cost of living, poll suggests

More Canadians are using services offered by charities to meet essential needs such as food, clothing and shelter, according to a new poll.

The Ipsos poll, which was commissioned by CanadaHelps, says 22 per cent of Canadians plan on making use of charitable services, an eight per cent increase over a similar poll from January.

CanadaHelps, which facilitates donations to 86,000 registered Canadian charities through its online platform, says the increase is due to continued economic uncertainty amid the rising cost of living.

"We know that Canadians across the country are feeling the impact of rising interest rates and the high cost of living, but it's staggering to see that two in ten Canadians will need support from charities to meet their basic needs," said Jane Ricciardelli, Acting CEO of CanadaHelps.

According to the Ipsos poll, the group most needing help is Canadians between the ages of 18 and 34, where one in three (35 per cent) are expected to access essential charitable services in the coming months.

Over a quarter of people aged 35 to 54 (26 per cent) and one in four parents (27 per cent) also plan on accessing essential services.

Although demand for charitable services is rising, some charities themselves are facing significant shortfalls in funding as a significant number of Canadians scale back on charitable giving. 

The poll suggests 20 per cent of Canadians expect to reduce their charitable giving this year, while only 13 per cent of Canadians are planning to give more in 2022 than they did last year. Seventy-four per cent of Canadians who plan on giving less cite the same reason — the rising cost of living — as the key reason why they are scaling back, the survey found

"To see Canadians have to scale back their giving isn't surprising, but it is very concerning," said Nicki Lamont Cholfe, the director of donor marketing at CanadaHelps

This has a huge effect on charities like Fred Victor, which helps about 3,000 people who are experiencing homelessness find safe, stable housing every day.

Marie MacCormack, Fred Victor's vice president of philanthropy and communications, says 85 per cent of their funding comes from the government, but they have to raise funds to close the shortfall of about $5 million through donations.

She says this was easier during the first two years of the pandemic when charitable donations actually increased.

"At the core of everybody's heart is the understanding that we have to do something when disaster strikes," said MacCormack.

However, the number of donations has dropped off considerably this year, amid high inflation and the rising cost of living, the housing crisis and what MacCormack calls a "massive demand" for food programs and other services the charity provides.