Government Introduces Plan to Grow Canada's Middle Class
April 20, 2016 – Ottawa, Ontario – Department of Finance Canada
Today, the Government of Canada introduced legislation that puts people first and delivers help that middle class Canadians need now, not a decade from now. The legislation takes an essential step to grow the middle class and revitalize the economy.
The Government of Canada knows that a strong economy starts with a strong middle class. When middle class Canadians—and those working hard to join the middle class—have money in their pockets to save, invest, and grow the economy, everyone benefits.
Budget Implementation Act, 2016, No. 1 includes measures that will give Canadians the opportunity to build better lives for themselves. For some, that means being able to afford sending their kids to a quality daycare, or helping their teenagers with college tuition. For others, it means putting away enough money for a safe and secure retirement.
Included in the legislation is the new Canada Child Benefit (CCB), which is simpler, tax-free, better targeted, and more generous than the existing child benefits. Whether the extra money is used for things such as signing up their children for summer camp, helping cover the family grocery bill, or buying warm coats for the winter, the CCB will help parents with the high costs of raising their kids. Once passed, nine out of ten Canadian families will receive more than under the current system, and hundreds of thousands of children will be lifted out of poverty.
The passage of this bill will also ensure that seniors will be afforded a dignified, comfortable, and secure retirement. The bill will increase the Guaranteed Income Supplement top-up benefit for the most vulnerable single seniors, and it will restore the age of eligibility for Old Age Security and the Guaranteed Income Supplement to 65 from 67.
If passed, Budget Implementation Act, 2016, No. 1 will also make changes to Canada’s Employment Insurance program—to make sure that out-of-work Canadians have the support they need while they look for their next job.
A strong middle class means that hard-working Canadians can look forward to a good standard of living and better prospects for their kids.
“Budget 2016 represents a giant step forward in our plan to put people first, and to deliver the help they need now, while investing for the years and decades to come. With these investments, and inspired by a sense of fairness, we are ensuring that Canada’s best days lie ahead.”
- Bill Morneau, Minister of Finance
- Backgrounder on Key Measures Included in Budget Implementation Act, 2016, No. 1
- Budget 2016: Growing the Middle Class
- Budget Implementation Act, 2016, No. 1
- Bill C-15 - Budget Implementation Act 2016, No. 1 - Overviews
Office of the Minister of Finance
Department of Finance Canada