New national data show nearly half of Canadians say financial pressure is damaging their mental health
Financial strain is pushing Canadians out of mental health care before they are ready to leave, according to new national polling by Mental Health Research Canada (MHRC), an independent charity based in Mississauga, Ontario.
The 29th edition of MHRC's Understanding the Mental Health of Canadians survey - based on responses from 4,005 people aged 16 and older, collected between July 27 and August 10, 2026 - found that 46 per cent of people in Canada say the cost of living is negatively affecting their mental health.
Separately, among those who had accessed mental health or substance-use support in the past five years, 52 per cent said they ended care earlier than planned or needed.
Financial strain is compounding psychological distress
The survey draws a direct line between economic conditions and mental health outcomes.
Among respondents, 37 per cent reported difficulty fully paying household bills, while 35 per cent cited challenges affording or maintaining stable housing. Broader macro-level concerns are also registering: 44 per cent said global political events are negatively affecting their mental health, and 37 per cent said the same about climate change.
"Mental health is shaped by much more than what happens inside the health system," said Akela Peoples, chief executive officer of MHRC. "People are trying to manage financial pressure, stay connected and find support that actually works for them. These findings reinforce why we need to look at the whole picture, not just whether someone is able to get through the door."
The findings arrive as financial advisors across Canada are increasingly navigating the emotional dimensions of client relationships with previous research by Bridgehouse Asset Managers showing that 72 per cent of advisors report encountering clients with anxiety and 54 per cent with depression.
People are leaving care - and not by choice
Of the 52 per cent who left mental health or substance-use support earlier than planned, the leading reasons cited in the MHRC report were not seeing real-world progress or improvement (16 per cent), not feeling understood or respected (12 per cent) and unclear goals or expectations (11 per cent).
Among people with severe anxiety, 72 per cent said they ended care before completing it; for those with moderately severe-to-severe depression, that figure rose to 74 per cent. Meanwhile, only 14 per cent of people with severe anxiety said care fully met their needs, compared with 29 per cent across the broader survey population.
"What stands out in this wave is how clearly the pressures connect," said Michael Cooper, vice-president of data and partnerships at MHRC. "Economic strain, the ways people cope, whether they feel connected and what happens when they enter care are not separate mental health stories."
These dynamics matter for advisors because the link between financial planning and mental wellbeing is well established and clients experiencing untreated mental health conditions are more likely to make reactive or emotionally driven financial decisions.
Coping strategies and the connection gap
The survey also examined how Canadians manage stress. The most common approaches were keeping busy or pushing through on their own (43 per cent), taking time alone or distancing from others (42 per cent), and talking with a friend, family member or partner (39 per cent). Just 11 per cent identified seeing a counsellor, therapist or other mental health professional as a coping strategy. Twenty-one per cent reported at least one potentially harmful coping behaviour.
Social connection data reveal a meaningful gap between close relationships and community ties. While 68 per cent of Canadians reported meaningful interactions with family at least weekly and 57 per cent with friends, only 28 per cent reported the same with neighbours and 21 per cent with community or organized groups. Among those with fewer social connections, 24 per cent identified mental health challenges as a barrier — second only to lack of time at 28 per cent.
These findings reinforce a pattern that wealth managers are being asked to respond to more directly - clients who are financially stretched often become socially withdrawn, compounding the difficulty of seeking professional support of any kind.
Substance dependence and mental health: overlapping risks
The survey identified a particularly acute risk profile among Canadians showing signs of alcohol or cannabis dependence. Among those showing signs of alcohol dependence, 75 per cent reported a mood-disorder diagnosis; among those showing signs of cannabis dependence, the figure was 78 per cent, compared with 39 per cent across the full national sample.
Care disengagement was even higher in this group: 84 per cent of those showing signs of alcohol dependence and 79 per cent of those showing signs of cannabis dependence reported ending support earlier than planned. The survey notes these findings show associations and do not establish causation.
The 29th edition of Understanding the Mental Health of Canadians was produced in consultation with subject-matter experts, with data collected by Pollara Strategic Insights and financial support from Health Canada. The national margin of error is ±1.5 percentage points, 19 times out of 20.
The full report is available at mhrc.ca.
