Carney government unveils affordability package: GST credit boost and one-time top-up, plus food supply support

By Tahani Elghazaly
Published January 26, 2026

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Prime Minister Mark Carney announced on Monday, January 26, 2026 a fast-tracked affordability package aimed at easing grocery and essentials costs, headlined by a revamped GST credit rebranded as the "Canada Groceries and Essentials Benefit".

According to the Prime Minister’s Office and the Department of Finance, the package includes:

A 25% increase for five years starting in July 2026.
A one-time top-up equivalent to a 50% increase this year, to be paid as early as possible in spring 2026 and no later than June 2026, subject to Parliamentary approval and Royal Assent.

Official figures cited in the release say a family of four could receive up to $1,890 this year and about $1,400 per year for the next four years, while a single individual could receive up to $950 this year and about $700 per year for the next four years. The program is expected to provide additional support to more than 12 million Canadians (Finance estimates 12.6 million).

Finance Canada says recipients will not need to apply for the top-ups, but should file a 2024 tax return to receive the one-time payment and a 2025 tax return to receive the enriched quarterly payments starting July 2026.

Beyond direct payments, the government also announced measures tied to food supply chains and food insecurity, including $500 million through the Strategic Response Fund, a $150 million food security fund for SMEs and supporting organizations, $20 million for the Local Food Infrastructure Fund, and steps related to unit price labelling and Competition Bureau oversight in food supply chains