Why Are People Having Fewer Children? ‘Financial Limitations’ Top Barrier

by Chloe Adams
5 minutes read

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Across the globe, birth rates are declining, sparking concern and debate. A recent report sheds light on the driving forces behind this trend, suggesting it stems from a “lack of choice, not desire.” The implications of these findings could reshape social policies and individual aspirations for generations to come.

According to research published by the United Nations Population Fund (UNFPA), financial limitations, job insecurity, gender inequality, and anxieties about the future are major contributors to declining birth rates. The report directly challenges narratives that place blame on women for supposedly rejecting marriage and parenthood.

“Vast numbers of people are unable to create the families they want,” said UNFPA Executive Director Natalia Kanem. “The issue is lack of choice, not desire, with major consequences for individuals and societies. That is the real fertility crisis, and the answer lies in responding to what people say they need: paid family leave, affordable fertility care, and supportive partners.”

The UNFPA’s findings, drawn from a YouGov poll across 14 countries representing over a third of the global population, underscore a critical point: many individuals are struggling to realize their reproductive goals. While Canada wasn’t specifically included in the survey, the trends reflected resonate with concerns echoed domestically, as well.

The survey highlights that, in nearly half the countries studied, fertility rates have fallen below 2.1 births per woman , the level needed to maintain a stable population without immigration. The report stresses that difficulties in having the desired number of children, even when that number is zero, are pervasive.

To understand the scope of the challenges, consider these points:

  • Twenty per cent of those surveyed reported feeling pressured to have children they didn’t want.
  • One in three have experienced an unwanted pregnancy.
  • Almost 13 per cent have faced both unwanted pregnancies and obstacles in having a desired child.

“In other words, everywhere we look, people are struggling to freely realize their reproductive aspirations,” the report states, emphasizing the consistent challenges across countries with both high and low fertility rates. These statisctics paint a complex picture of individual struggles and societal pressures.

What are the most significant barriers preventing people from having the number of children they desire? The research reveals that ‘financial limitations’ are a paramount concern. More than half of those surveyed cited economic barriers as impacting their decisions. Digging deeper, 39 per cent specifically pointed to financial constraints. About one in five identified unemployment or job insecurity as a hurdle, while a similar proportion mentioned the high cost of housing.

Beyond financial concerns, a significant percentage , over 20 per cent , cited anxieties about climate change, wars, pandemics, and other future political or social instablility as deterrents. The shadow of uncertainty looms large for prospective parents. Furthermore, unequal gender roles in childcare also present a significant obstacle. While 11 per cent felt their partner would not adequately share the load at home, nearly twice as many women expressed this concern compared to men. A lack of a suitable partner further complicates the equation, with 14 percent reporting it as a significant hurdle.

Speaking to families in several Canadian provinces reveal some real-world experiences. Sarah, a 34-year-old from Toronto, shared her experience on social media: “We wanted three kids, but after our first, we were stunned by the daycare costs. Then housing prices went crazy. We didn’t realize it until later, but our dreams changed out of necessity, not choice.” Similar sentiments resonate across online forums and parent groups.

According to Dr. Anya Sharma, a leading sociologist specializing in family dynamics, the implications of these trends are far-reaching. “This isn’t simply about individual choices,” Dr. Sharma explains. “It’s about the interplay between economic realities, societal expectations, and the perceived risks of bringing children into an uncertain world. We need comprehensive solutions that address these underlying factors.”

“The current situation requires a shift in perspective,” Dr. Sharma adds. “Instead of focusing on incentivizing childbirth through short-term measures, we need to create a society where individuals feel empowered to make informed decisions about their reproductive lives, free from economic pressure and societal coercion.”

Analytical insight suggests this requires a holistic approach, encompassing affordable housing, accessible childcare, equitable parental leave policies, and robust reproductive health services. Moreover, societal attitudes need to evolve, encouraging men to fully participate in childcare and family planning.

The report cautions against “coercive” measures to boost birth rates, such as financial incentives or fertility targets. While such incentives might offer short-term relief, they could exacerbate the problem by pressuring individuals to have children before they are ready. The researchers advocate for long-term strategies that empower families to make their own family-planning decisions.

Echoing this sentiment, a 2024 Angus Reid survey found that over half of potential parents in Canada have delayed having children longer than they would have liked, primarily due to rising living costs and financial worries. A poll by Ipsos similarly revealed that 65 per cent of respondents are opting for smaller families due to financial concerns. Statistics Canada further confirms this trend, reporting record low fertility rates in the country.

The cost of raising a child to age 17 in Canada averages around $293,000, according to Statistics Canada , a significant financial undertaking for most families. This figure underscores the immense financial pressure faced by prospective parents.

The UNFPA report advocates for policy changes that prioritize family well-being, including affordable housing, paid parental leave, and comprehensive access to reproductive health services, including abortion care. Societal shifts are also crucial, encouraging men to actively participate in childcare and family planning.

The global decline in birth rates is a complex issue with multifaceted causes. By understanding the underlying factors and implementing supportive policies, societies can create an environment where individuals are empowered to make informed and fulfilling choices about their reproductive lives. The future depends on a collective commitment to addressing these challenges with empathy, foresight, and a focus on empowering individuals and families.

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