<pThe one-time payment is estimated to exceed $3 billion this year, with annual costs ranging from $1.7 billion to $1.9 billion until 2031. Low and modest-income Canadians eligible for the GST rebate will receive a substantial boost, raising the annual amount for a family of four to $1,890 and for an individual to $950.
<pStarting in the 2026-27 fiscal year, the GST rebate will be enhanced by 25% over the following five years. This adjustment will benefit more than 12 million Canadians, providing additional financial support to families with lower incomes. The existing GST credit, aimed at low-income households, is paid out quarterly.
<pConservative Leader Pierre Poilievre has expressed support for the measure despite labeling it a temporary fix. Deputy Conservative leader Melissa Lantsman, however, criticized the grocery rebate as insufficient in addressing the root cause of escalating prices. While acknowledging the ongoing affordability crisis, she highlighted that food prices continue to surge unabated.
<pAbout a quarter of Canadians reside in food-insecure homes due to financial constraints, as reported by Food Banks Canada. Wage increases are seen as a potential solution to alleviate the burden of rising costs, particularly for those at the lower end of the income spectrum.
<pFinance Minister François-Philippe Champagne expressed hope that the Conservatives would follow through on their commitment to expedite the bill's passage. He emphasized the importance of tangible actions to address the pressing needs of Canadians.
