Prime Minister Mark Carney announced a new package of affordability measures on Monday aimed at helping Canadians cope with the rising cost of living.
At the centre of the plan is the Canada Groceries and Essentials Benefit, which will boost payments delivered through the GST rebate over the next five years. Carney says the measure is designed to help families who need support the most.
The government is using the GST rebate because groceries and essential items take up a larger share of budgets for low- and modest-income households.
In the first year, eligible Canadians will receive a one-time boost. A family of four will see annual support rise from about $1,100 to $1,890. An individual will see their payment increase from roughly $540 to $950.
Starting next year, the GST rebate will increase by 25 per cent for four years. That means a family of four could receive up to $1,400 a year, while an individual could get about $700.
Carney said rising food prices mean many Canadians need help right now.
Written by: E. Lockwood