Deputy Prime Minister and Finance Minister Christia Freeland is delivering her first major speech since the budget today, outlining the $ 8.9 billion in financial support her government has already introduced to help Canadians cope with rising inflation.
“We know that Canadians are worried about inflation and that they are asking what their government will do about it,” Freeland said in a statement.
“That’s why we have a new accessibility plan – $ 8.9 billion in new support this year – that will put more money in Canadians’ pockets when they need it most.
Freeland’s speech to the Empire Club in Toronto also touched on strategies to increase competitiveness and productivity and debt management, as well as the role of the Bank of Canada in keeping the economy stable.
Conservative candidate Pierre Poalievre has accused the Bank of Canada and its current governor, Tyff McLem, of exacerbating inflation through its pandemic easing policy.
He also vowed to fire MacLeam if he becomes prime minister, a promise that has drawn criticism from some who say the Conservative MP has unfairly politicized an institution that has always distanced itself from guerrilla politics.
The measures, which have already been announced by the federal government in the 2022 budget and quoted by Freeland in today’s speech, include:
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Increase the income of Canadian workers by $ 1.7 billion this year. Individual workers can now receive up to $ 1,395 a year in benefits, while a family can qualify for up to $ 2,403 a year. These amounts doubled by almost $ 1,200 for individuals and $ 2,400 for families.
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Increase the Security of Old Age (OAS) by 10 percent, providing up to $ 766 of new support in the first year beginning in July.
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Providing a one-time payment for affordable housing of $ 500 for low-income Canadians.
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Reduce childcare costs by an average of 50% by the end of the year and bring them to an average cost of $ 10 per day by 2025-2026.
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Providing free dental coverage to Canadians earning less than $ 90,000 a year, starting with children under 12, in 2022.
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Increase in benefits indexed to inflation, including the OAS, the Guaranteed Income Supplement (GIS), the Canadian Pension Plan, the Canadian Child Benefit and the GST Credit.
The federal government says GIS is now 4.9 percent higher than a year ago due to inflation, and that other indexed benefits will also increase.
The opposition is critical of repeated messages
The NDP and conservatives have been pushing the liberal government over inflation for weeks. NDP leader Jagmit Singh told the House of Commons during the period in question on Wednesday that re-announcing programs that had been revealed in the budget was not enough.
“One in four Canadians will lose their homes if interest rates continue to rise. One in four Canadians is hungry because they can’t afford food,” Singh said.
WATCH “We have a tough move ahead”: John Manley on inflation, risk of recession
“We have a tough move ahead”: John Manley on inflation, risk of recession
“We may be heading for a recession,” said former Liberal Finance Minister John Manley. “Right now, everything is kind of negative.”
“The finance minister will deliver a speech … that was supposed to meet their needs, but instead it will be a re-announcement of previous measures, none of which will help people right now.”
Singh said the federal government should take steps to help people immediately by providing direct financial support to families.
Prime Minister Justin Trudeau said that while programs such as the federal childcare plan were introduced months ago, their financial effects are only being felt now that they are taking effect.
In a speech Wednesday, interim Conservative leader Candice Bergen said the liberal government should make temporary cuts to the GST and carbon taxes on fuels and diesel.
“It would help a lot to reduce the price of gas and, frankly, everything else,” she said.
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