Canadians could soon receive extra payments to offset grocery costs

Prime Minister Mark Carney announced the Canada Groceries and Essentials Benefit, which includes a one-time top-up this spring and a 25% increase to the benefit starting July 2026, both measures subject to Royal Assent.

Prime Minister Mark Carney unveiled the Canada Groceries and Essentials Benefit as a measure to help offset rising food costs. The Department of Finance says the new benefit will be indexed to inflation and builds on the existing GST Credit. The government says the package represents $11.7 billion in additional support over six years and would reach more than 12 million Canadians. The legislation is expected to be tabled in the coming weeks and is subject to Royal Assent. Key details: - A one-time top-up equal to a 50% increase in the 2025–2026 annual GST credit value, to be paid as early as this spring and no later than June 2026, subject to Royal Assent. - An increase of 25% to the value of the Canada Groceries and Essentials Benefit for five years, beginning in July 2026, subject to Royal Assent. - The Department of Finance says the combined measures would provide up to an additional $402 to a single individual, $527 to a couple, and $805 to a couple with two children. - Payments will be made quarterly and are in addition to other existing benefits such as the Canada Child Benefit. - No separate application will be required for eligible recipients, but filing a 2024 tax return is needed to receive the one-time top-up and filing a 2025 tax return is needed to receive the increased payments starting in July 2026. Summary: The announced measures aim to deliver immediate and longer-term additional support for low-income households facing higher grocery costs. Legislation to enact the one-time top-up and the five-year increase is to be tabled soon, with the government expecting Royal Assent by March 31.