60% of Canadians have some form of tertiary education (the highest of those monitored by OECD). This number has been steadily rising, and for good reason: research shows that those with a bachelor’s degree out-earn their counterparts and earn a return on their investment. In 2017 Statistics Canada reported that men and women with bachelor’s degrees out-earned their high school diploma counterparts by 30% and 60% per year, respectively.
But, education costs money: the average bachelor’s degree costs Canadian students $23,000 in tuition alone, not accounting for added costs such as textbooks, rent, and travel to and from school that can add up to over $9,000 per year. The average bachelor’s degree student graduated in 2015 with $28,000 of debt. In fact, Canada ranks 5th overall in private spending on tertiary education (% of GDP) despite all public funding.
And, despite the “typical” return on investment, getting an education can place a huge financial strain on students. In 2018, 1 in 6 insolvencies in Ontario were signed by student debtors, approximately 22,000 people. And with the Covid-19 pandemic generating anxiety, added financial strain, and reduced job prospects for learners, Canadian institutions saw a reduction in new domestic enrolments for the first time since 2015.