Remarks by the Deputy Prime Minister and Minister of Finance at the House of Commons Standing Committee on Finance regarding Bill C-30

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October 3, 2022

Mr. Chair, it is my pleasure to appear before you and Members of the committee to discuss Bill C-30—the Cost of Living Relief Act—which would deliver targeted tax relief to the Canadians who need it most by doubling the Goods and Services Tax Credit for six months.

That would mean up to an extra $234 for single Canadians without children and nearly $500 for a family with two children. Seniors would receive an extra $225 on average.

This is additional support for roughly 11 million eligible people and families.

And Bill C-30 is just one element of our new package of support. As members of this committee know, Bill C-31 includes a Canada Dental Benefit and a one-time top-up to the Canada Housing Benefit.

If we pass these two further pieces of legislation, up to half a million children under 12 will be able to go to the dentist. Low-income renters—some of the most vulnerable among us—will receive a little extra breathing room.

These measures are part of our Affordability Plan, which has already been putting more money back in the pockets of Canadians this year.

We have enhanced the Canada Worker’s Benefit. We’re cutting child care fees in half by the end of the year. In July, we increased the OAS by ten per cent for seniors 75 and older. And we’ve doubled the Canada Student Grant until July 2023.

Mr. Chair, our plan is targeted, fiscally responsible, and supports the most vulnerable Canadians: Our lowest-paid workers; low-income renters; families who can’t afford to have their kids see a dentist.

And we are doing it in a way that will not pour unnecessary fuel on the fire and allow inflation to become entrenched –– something that would make life more expensive for everyone for years to come.

But we cannot compensate every single Canadian for rising costs driven by a global pandemic and by Putin’s invasion of Ukraine. To do so would only make inflation worse. Canadians are smart, and I know they understand that.

And so as Canadians cut back on costs, so, too, will our government. We will do our part to not pour fuel on the fire.

We committed to a $9 billion cut in government spending in our spring budget. Canada has the lowest deficit this year in the G7. We have the lowest net debt-to-GDP ratio in the G7. Our triple-A credit rating was affirmed this year by Moody’s, S&P, and DBRS. And our new, targeted inflation relief measures have a cost of just 0.1% of Canada’s GDP, an incremental cost of $3.1 billion.

This legislation is about finding a balance: finding a balance between compassion and fiscal responsibility. This support is the right thing to provide Canadians now, when they need it.

Canada can afford to be compassionate to the most vulnerable among us, and we will be.

I’m happy to take your questions.