NEWS RELEASE for
June 26, 2008
Red Deer, AB… According to recent Community Savings research, nine out of ten Albertans (94%) have noticed a distinct increase in their cost of living due to the rising cost of gasoline, food, housing and utilities; and not surprisingly, discretionary spending across the Province has been affected. Of those who have noticed an impact, 48% say their summer travel plans have changed.
"With most Alberta households feeling an impact from rising costs of living, discretionary spending is undoubtedly one of the first things to be affected," said Mike Drotar, Vice President & Chief Financial Officer. "With a strong percentage of Albertans indicating they will travel less or take fewer trips this summer, the local tourism industries will undoubtedly benefit from an increase in regional business," he noted.
Other research highlights among those who say the price of gasoline has impacted their travel plans:
- 36% say that they plan to travel less or take fewer/shorter trips to help manage rising gasoline costs. Older Albertans (aged 55+) have been impacted to a larger degree (42% versus 31% among the 35-54 year old age group);
- 18% say they will not travel at all this summer (the 35-54 age group are significantly more likely than those aged 18-35 to say they will not travel this summer);
- Almost one-in-three (28%) have purchased a more fuel efficient vehicle and another 9% have downsized their vehicle to something smaller.
The results are based on an Ipsos Reid telephone survey of 800 Albertans conducted for Community Savings between June 10th and 15th and has a margin of error plus or minus 3.5 percentage points nineteen times out of twenty.
Community Credit Union, operating as Community Savings, has 31 locations in 24 Alberta communities geographically distributed from Ponoka south to the US border. Community Savings provides a complete line of banking services, including registered accounts, financing, investments, insurance and commercial banking. With assets of over $3 billion, it is the 2nd largest credit union in Alberta and the 6th largest in Canada. Its head office is located in Red Deer. Community Savings will amalgamate with Servus and Common Wealth Credit Union on November 1, 2008 to provide financial services province-wide.
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