Facing higher energy costs this winter, many Canadians are concerned they will have less money available for investment purposes.

More than half (52%) of respondents to the 2005 TD Waterhouse RSP Investor Poll agreed that the increasing price of gas and home heating means they will have less money for investing.

The poll found that geography also plays a factor. Prairie residents were the most likely, at 55%, to feel that higher gasoline and heating costs will impact their investing this year – not surprising given that Winnipeg and Regina have the coldest mean daily temperatures in January among Canada’s major cities.

Quebecers, who benefit from relatively abundant and low-cost electricity, were the least likely, at 47%, to indicate that the amount they’re planning to invest would be impacted by higher energy prices.

“The surge in commodity oil prices may have boosted the value of RSP investment portfolios for Canadians who own energy stocks or income trusts,” said Patricia Lovett-Reid, senior vp, TD Waterhouse Canada Inc. “but it could also result in somewhat lower annual contributions this year as homeowners rethink their priorities. And with energy prices remaining high for the foreseeable future, this could be a growing issue for retirement savings.”

Investors can pare their energy bills by making relatively small adjustments in the home. Energy experts say that turning down the thermostat by 1 degree Celsius can reduce a home’s energy bill by about 10%. Plugging air leaks with caulking or weather stripping can save another 10% or more. Finally, proper insulation in the attic, basement walls, crawl spaces and so forth can save up to a third on home energy bills. Combined, these measures could substantially reduce the homeowner’s annual heating bill, and free up funds for investing.

Age, which correlates closely with home ownership, also has an impact on whether energy prices factor into investment decisions. Respondents less than 34 years of age were much less likely (45%) to agree that higher energy prices would leave them less money to invest, whereas those in the next two age brackets (35-49 and 50-64) were more likely to agree (55% for each category).

TD Waterhouse’s sixth consecutive annual poll was conducted by Toronto-based research firm TNS Canadian Facts. They conducted telephone interviews with 1000 randomly selected Canadians across Canada who hold investments products either inside or outside of a registered savings plan. The interviews were conducted between October 18 and November 2, 2005. Respondents were between the ages of 18 and 69. The total sample data is accurate to +/-3.1 percentage points, 19 times out of 20.