Since 2002, Incomes in Ontario Have Been Growing at the Slowest Rate Nationwide

Ontario has experienced the slowest average income growth in Canada over the past two decades, as reported in a recent study.

Ontario’s median income only grew by 7.2 percent during this 20-year period, significantly lower than Alberta’s growth of 17.4 percent. Conversely, Newfoundland saw a total growth of 52.2 percent.

Prince Edward Island had an average income growth of 41.3 percent, followed by Saskatchewan at 36.2 percent, New Brunswick at 33.7 percent, B.C. at 30.3 percent, Quebec at 25.2 percent, Nova Scotia at 22.9 percent, and Manitoba at 19.2 percent.

Ben Eisen, a senior fellow at the Fraser Institute, expressed concerns about Ontario’s economic performance, citing that the province is falling behind in various economic indicators which ultimately affect the well-being and opportunities for workers.

Ontario’s GDP per-person growth ranked second-lowest in Canada, with an annual growth of 0.7 percent—0.2 percentage points lower than the national average of 0.9 percent.

During the same period, Ontario’s business investment per worker was notably lower compared to the rest of the country, averaging 65 percent less investment per worker.

The study authors described the years 2002 to 2022 as “two lost decades” for Ontario’s economic progress and growth, highlighting the challenges faced by the province since the 2008–09 recession and the decline of its manufacturing sector.

Ontario’s escalating provincial debt poses a threat to future generations of taxpayers and the province’s overall prosperity, as noted by the authors.

The study concluded by questioning Ontario’s ability to regain sustained, robust growth and reclaim its historical position as a pivotal player in the national economy.