A grim new report from Food Banks Canada reveals a worsening economic crisis, with monthly food bank visits surging 5.15% to 2.17 million in March 2025, nearly double 2019 levels.
The 2025 HungerCount, based on data from 2,725 food banks, exposes how soaring living costs are pushing Canadians to the brink.
"People are falling through the cracks," the report warns. "Canada’s social safety net has become dated and ineffective in the current economic situation."
Canada’s years of government overspending and ballooning national debt have significantly contributed to persistent inflation, squeezing consumers’ wallets. Since 2015, federal deficits have soared, with the national debt doubling to over $1.2 trillion by 2025, driven by expansive social programs, subsidies, and pandemic-era spending.
This fiscal largesse, often financed through borrowing and money supply expansion, has fuelled demand while supply chains faltered, pushing prices higher. The Bank of Canada’s low interest rates until 2022 further amplified this, encouraging borrowing and inflating asset prices like housing, which now consumes 66% of low-income households’ disposable income.
As the government injected billions into the economy, consumer prices rose—food costs alone jumped 25% from 2021 to 2025—while wages and social benefits lagged. The resulting inflation, peaking at 8.1% in 2022 and remaining sticky around 3-4% in 2025, has eroded purchasing power, forcing 10 million Canadians into hunger.
One in four Canadians—10 million people—faces food insecurity, with 2.6 million enduring severe hunger, skipping meals or going days without food. Low-income families spend 66% of disposable income on shelter, while food prices have risen 25% in four years, outpacing wages and benefits.
Children make up 33% of visits, and 19% of users rely on employment income, up from 12% in 2019. In the North, 37.5% of residents face food insecurity, with Nunavut nearing 60%.
"Life has become increasingly unaffordable. The cost of rent has skyrocketed and has started to hinder people’s ability to buy food," the report states.
Food bank operating costs have tripled, forcing rationing or closures. Food Banks Canada calls for urgent reforms, including EI expansion and poverty reduction. "We can create a Canada where no one goes hungry," it urges, warning that inaction risks deeper economic and social fallout.