The following is a press release from RATESDOTCA.
NOVA SCOTIA: More than one third of Canadian drivers are considering making changes to their current vehicle due to affordability concerns, according to a recent Leger survey commissioned by RATESDOTCA and BNN Bloomberg.
Those whose vehicle costs – including leasing/financing payments, insurance, gas and maintenance – are $500 per month or less are least likely to be considering making changes such as driving less, forgoing necessary maintenance or repairs, changing to a cheaper vehicle or selling the vehicle at 32%.
Those whose monthly costs are $501-$750 and those whose monthly costs are $751-$1000 are both considering changes at 49%.
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The cost of owning a car is on the rise, due to higher new and used car prices, increasing repair and maintenance costs, soaring gas prices and more expensive insurance premiums, pushed higher by increasing costs and rampant auto theft.
“Vehicle costs have risen sharply over the past several years, fuelled by inflation, supply chain issues, increased maintenance and repair costs and increasing insurance costs,” said John Shmuel, RATESDOTCA managing editor.
“It’s natural that a significant number of Canadian drivers are concerned about this.
“That such a high number of Canadian drivers are considering making changes to save on vehicle costs is indicative of many making do with less as the cost of living remains high.”
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Key survey findings:
37% of Canadian drivers surveyed are considering making changes to their current vehicle due to affordability concerns, such as driving less to save on gas (27%), forgoing necessary maintenance and repairs (10%), planning on changing to a cheaper vehicle (5%) and selling the vehicle (4%)
55% of Canadian drivers surveyed spend $500 or less on monthly vehicle costs, including insurance, maintenance, leasing/financing and gas. Of that 55%, 48% are considering making changes to their current vehicle due to rising ownership costs
Younger drivers are more likely to be considering making changes than older drivers. Those aged 18-54 and those aged 55+ are considering making changes at 41% and 32%, respectively
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20% of Canadian drivers say their car-related expenses are between $501 to $750. 10% say they spend between $751 to 1,000. For both groups, the majority (40%) are opting to make changes to their driving routines to save money
4% of Canadian drivers report spending more than $1,000 per month on car-related expenses, while 1% say they spend between $1,501 and $2,000, and 2% report spending more than $2,000
27% of Canadian drivers reported driving less to save on gas
5% of all survey respondents and 7% of survey respondents under the age of 55 are planning on switching to a cheaper car
