‘This measure helps”: Canada’s grocery benefit begins to arrive in bank accounts

How will Ottawa’s grocery benefit impact Maritimers?

The first quarterly Canada Groceries and Essentials Benefit began arriving in bank accounts on Friday for about 12 million eligible Canadians.

The benefit, announced in January by the federal government, replaces the GST/HST credit and includes a 25 per cent increase for low-to-mid income earners until 2031.

In June, eligible households got a one-time payment worth 50 per cent of the benefit’s annual value.

Annual amounts can range between a few hundred dollars to more than a thousand dollars per family, depending on marital status and the number of children in the household.

The federal government said both initiatives would help individuals and families struggling amid the affordability crisis.

Grocery prices have increased by about 30 per cent since 2019, according to a report from TD Bank this past winter.

Alex Boyd, CEO of the Greener Village Fredericton foodbank, said the benefit would have a positive impact for those who are the most vulnerable.

“This measure helps, and we can use it as good evidence to say we need to do more of this sort of thing to help people who are struggling,” said Boyd. “When people have access to resources so they can purchase food for their families, they visit food banks a lot less. We see that every month when the Child Tax Benefit comes out. We see it every quarter when the GST benefit comes out.

“The fact this support is going to go directly to the same people who need that support is going to have an impact, there’s no doubt in our minds.”

With files from Craig Lord with The Canadian Press