Household spending down, debt up on P.E.I.
Islanders have high load delinquency rate
Two separate reports indicate money troubles are developing in P.E.I. households.
A new report from the credit monitoring firm TransUnion shows P.E.I. had one the largest increases in consumer debt in the country at the end of 2012, with a nine per cent increase. That was the third highest in the country, behind Alberta and Quebec.
And it seems Islanders are having some trouble paying off that debt. The report shows P.E.I. had the highest credit card delinquency rate in the country, and the third highest delinquency rate in lines of credit and installment loans.
At $25,530, the household debt on P.E.I. was about $2,000 less than the Canadian average.
Household spending drop biggest in country
Despite the increase in consumer debt, the latest report from Statistics Canada shows household spending on P.E.I. dropped between 2010 and 2011.
Average household spending
Source: Statistics Canada
The report shows average household spending on P.E.I. was just over $45,000 in 2011, a drop of more than one per cent from the previous year. The only other province that saw spending drop was B.C. Nationally household spending increased 2.7 per cent.
According to the report Island households spent less in just about every category including food, shelter and transportation. They spent more on income tax and household operations.