Canadians Cut Back on Dining Out as Costs Climb
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Key Points
- 75% of Canadians are eating out less due to rising food prices
- Delivery and snacking are replacing traditional meals for many households
- Nearly half of foodservice businesses now report operating at a loss
Three in four Canadians are eating out less often, turning instead to home-cooked meals and cheaper snacks, according to Restaurants Canada’s 2025 Foodservice Facts report. The survey highlights how the affordability crisis is reshaping daily habits, with large families especially hit by the added costs of tips and gratuities.
The report also shows Canadians are increasingly substituting meals with snacks and delivery. In the last six months, 64% ordered takeout instead of dining in, while 41% cut back on alcohol consumption. Social outings among younger people have also declined. These changes are leaving restaurants struggling: nearly 45% of operators are running at a loss or barely breaking even, compared to just 12% before the pandemic.
Industry leaders are calling for government relief, including a proposal to remove GST on food purchases. Restaurants Canada warns that without policy action, more closures, job cuts, and reduced hiring will ripple through communities across the country.
