OTTAWA — Rising living costs are significantly influencing birth rates in Canada, with financial stability and sector of employment playing a decisive role in a couple’s decision to have their first child, according to a recent report by Statistics Canada. The study analyzed data collected between 2017 and 2023.
The report highlights a sharp divide based on economic standing: women in the top 20% family income bracket have a 14.1% likelihood of having their first child, compared to just 5.6% for those in the bottom 20%. This reveals that women in higher-income families are more than twice as likely to transition into motherhood as those in lower-income households.
Economists point to the soaring cost of living as the primary driver behind this trend. Financial experts estimate that raising a child from birth to age 18 in Canada now costs a minimum of $300,000, factoring in essential expenses such as food, housing, transportation, clothing, diapers, and baby furniture.
Beyond income, a woman’s line of work is also a crucial factor. Across all income levels, women employed in the public sector—including healthcare, education, and public administration—as well as those in unionized workplaces, show a higher likelihood of having a first child.
These findings come at a time when Canada’s total fertility rate dropped to an all-time low of 1.25 children per woman in 2024, underlining the growing impact of economic security on family planning.
