Remarks by the Deputy Prime Minister and Minister of Finance at the Senate Committee of the Whole regarding Bill C-30
Speech
October 6, 2022
Madame Speaker, it is my pleasure to appear before you and all Senators 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 Canadian households.
And Bill C-30 is just one element of our new package of support. As members of the Senate know, Bill C-31 includes a Canada Dental Benefit and a one-time top-up to the Canada Housing Benefit of $500.
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 Workers 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.
Madame Speaker, 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 take their kids to the dentist.
And we are doing it in a way that will not pour unnecessary fuel on the fire – something that is fiscally responsible.
I want to be clear. We cannot compensate every single Canadian for the rising costs that are driven by a global pandemic and by Putin’s illegal invasion of Ukraine. To do so would only make inflation worse and the Bank of Canada’s job harder. Canadians are smart, and I know they understand that.
This plan is targeted at the most vulnerable Canadians who do need a little bit of help. It represents an approach which is fiscally responsible and compassionate at the same time.
We also recognize that Canadians – all Canadians – are cutting back on costs right now, and we recognize that our government needs to do that too.
We committed to a $9 billion cut in government spending in our spring budget. Canada does have 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.
And I am now happy to take your questions.