September 17, 2024 — Saskatchewan has solidified its position as the most affordable province in Canada, according to the latest Consumer Price Index (CPI) figures released today. The province experienced a mere 1.1% year-over-year inflation increase in August 2024, significantly lower than the national average of 2.0%. This marks the lowest inflation rate among all provinces, reinforcing Saskatchewan's reputation for a low cost of living.
Economic Growth Driven by Affordability
The low cost of living is not just benefiting residents—it's spurring substantial economic growth:
- Building Permits Surge: Statistics Canada reports that Saskatchewan ranked second nationally in building permit growth, with year-over-year increases of 47.5% and month-over-month growth of 49.2%. Regina and Saskatoon saw remarkable increases of 64.6% and 131.4%, respectively.
- Population Boom: The province's population has grown by 23% since 2007, reaching 1.23 million people. Nearly 100,000 new jobs have been created, aligning with the government's Growth Plan to reach a population of 1.4 million by 2030.
- Record GDP: Saskatchewan's real GDP hit an all-time high of $77.9 billion in 2023, increasing by 1.6% and placing second in the nation for GDP growth.
Government Initiatives Keep Costs Low
The Government of Saskatchewan attributes this success to strategic policies aimed at affordability:
- Tax Relief: Since 2007, over 112,000 residents have been removed from the provincial income tax roll. A family of four pays no provincial tax on their first $59,475 of income—the highest tax-free threshold in Canada.
- Housing Incentives: Programs like the Secondary Suite Incentive (SSI) and the extension of the Provincial Sales Tax (PST) Rebate for New Home Construction offer homeowners up to $46,340 in cost savings.
- Affordable Utilities: Saskatchewan families benefit from the second-lowest utility bundle in Canada, saving approximately $2,300 compared to the national average.
Leaders Speak Out
Trade and Export Development Minister Jeremy Harrison stated:
"Saskatchewan remains the most affordable place in Canada to live, work, and raise a family. The actions our government has put in place to keep life affordable are working, as we are seeing unprecedented growth in key economic indicators—all while keeping Saskatchewan’s unemployment and inflation rates the lowest in Canada."
Deputy Premier and Finance Minister Donna Harpauer added:
"Keeping life affordable for Saskatchewan residents plays a pivotal role in building a strong economy and vibrant communities. This is why more than $2 billion in targeted affordability measures are built into each and every budget."
Innovative Crown Corporations
Saskatchewan’s Crown corporations are contributing to affordability:
- SaskPower and SaskEnergy offer energy-efficiency rebates and programs.
- SGI provides some of the lowest auto insurance rates nationwide and the Safe Driver Recognition program.
- SaskTel offers affordable communication plans and promotions to keep families connected.
Crown Investments Corporation Minister Dustin Duncan commented:
"Our government is proud to see Saskatchewan families benefit from the second-lowest cost utility bundle among all provinces. Beyond their core operations, our Crowns look for innovative ways to help Saskatchewan families reduce their utility bills."
Future Projections Look Promising
- Private Capital Investment: Expected to reach $14.2 billion in 2024, a 14.4% increase over 2023—the highest anticipated percentage increase in Canada.
- Job Creation and Population Growth: The province aims to add nearly 100,000 new jobs by 2030, continuing its century-high growth rates.
With its strategic initiatives and focus on affordability, Saskatchewan is not just surviving but thriving. The province continues to attract new residents and investments, proving that a low cost of living can go hand-in-hand with robust economic growth.
About Author
