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The prospect of increasing economic instability amid the U.S.-Canada trade war is affecting the way Canadians of all ages manage their finances, but recent data indicate younger generations are preparing the most aggressively.

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About 70 per cent of generation Z Canadians said they have bumped up their emergency savings in the past three months or are actively considering it, according to an April survey from EQ Bank conducted with Angus Reid.

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The survey of 1,525 online Canadians who are members of the Angus Reid Forum found that more than half of all Canadians have either increased their savings or are thinking about doing so, but adult generation Z (aged 18–28) is ahead of the pack, especially compared with baby boomers (41 per cent of those aged 61–79) and generation X (53 per cent of those aged 45–60).

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Statistics Canada’s latest household wealth data show this trend has been building since 2024.

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Millennials (Statistics Canada includes adult generation Z in this cohort, so those aged 18 to 44) saw their year-over-year net savings swell nearly 60 per cent to $23,716 per household in 2024. In comparison, generation X increased their savings by just 12.76 per cent to $18,679 per household and in older generations their spending continued to exceed their income.

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Maria Solovieva, an economist at Toronto Dominion (TD) Bank, said she anticipates a precautionary savings environment for the near future as Canadians brace for the possibility of job insecurity and a potential recession.

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Still, she noted that the full impact of the trade war on consumer finances will not be reflected in Statistics Canada data until the next 2025 quarterly reports are released.

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“Some of (people’s income) will be eaten by inflation, coming from tariffs, but I think we will continue to see the precautionary savings on the elevated level relative to the pre-pandemic trend for some time,” she said.

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More than half of the EQ Bank survey respondents who have increased or are thinking about increasing their savings said boosting their savings would help their overall financial stability, but others said they were specifically motivated by trade war concerns and anxiety about the future.

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In fact, 47 per cent said they worried about a higher cost of living or elevated inflation due to tariffs and nearly 40 per cent had concerns about the economy or a recession due to tariffs.

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Younger Canadians increasing their savings were especially motivated by anxiety about the future (67 per cent) and fears around job stability or being laid off (37 per cent), more so than older respondents.

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Cindy Marques, a Toronto-based certified financial planner and director at Open Access Ltd., said she has seen this among her own clients as well. Her clients are avoiding taking on new debts and are prioritizing their savings — in part, she acknowledged, due to her own advice regarding the current economic climate.