Household net worth is increasing but so is household debt.
That’s according to the latest figures from Statistics Canada which show in the fourth quarter of 2015, the country’s per capita household net worth was $263,200, up 1.5 per cent from the previous quarter.
At the same time total household credit market debt reached $1.9 billion at the end of the fourth quarter, up 1.2 per cent from the previous quarter.
Stats Can says disposable income increased 0.6 per cent, a slower pace than that of household credit market debt of 1.2 per cent.
The ratio of household credit market debt to disposable income rose to 165.4 per cent in the fourth quarter meaning for every dollar of disposable income households held $1.65 in credit market debt.