Canada’s federal government has announced a wide-ranging affordability package aimed at easing financial pressure on households at a time when global uncertainty continues to affect everyday costs. The measures, unveiled by Prime Minister Mark Carney, focus on groceries, essential goods, and food security areas that directly affect both long-time residents and newcomers settling in Canada.

At ImmigCanada, we regularly hear from newcomers who are balancing settlement expenses alongside rising food and housing costs. This new package signals a policy direction that places affordability at the centre of Canada’s economic planning.

Canada Groceries and Essentials Benefit Replaces GST Credit

The cornerstone of the announcement is the Canada Groceries and Essentials Benefit, which replaces the former GST Credit. Beginning in July 2026, the benefit will increase by 25 percent over five years, providing enhanced support to more than 12 million Canadians.

For immediate relief, the government has also introduced a one-time payment equal to a 50 percent increase for the current year. Under this structure:

• A family of four will receive up to $1,890 this year
• A single individual may receive up to $950 this year
• Ongoing annual support will average about $1,400 for families and $700 for individuals over the following four years

For newcomers and permanent residents still establishing financial stability, these benefits can help offset settlement costs such as food, transportation, and basic household needs.

Supply Chain Measures to Control Rising Prices

Beyond direct payments, the government is investing $500 million through the Strategic Response Fund to help businesses manage supply chain disruptions without transferring added costs to consumers.

In addition, a new $150 million Food Security Fund will support small and medium enterprises involved in food production and distribution. These measures are designed to stabilize prices at the checkout counter rather than relying solely on consumer rebates.

As a regulated immigration consultant, ImmigCanada often advises clients that economic policy and immigration policy are closely linked. Lower cost pressures help newcomers integrate more smoothly and reduce financial risk during their first years in Canada.

Support for Food Banks and Domestic Production

To address immediate needs, the government is allocating $20 million to the Local Food Infrastructure Fund, strengthening food banks and community organizations across the country.

At the production level, new tax rules allow immediate expensing for greenhouse buildings acquired on or after November 4, 2025, encouraging domestic food production before 2030. This move is expected to increase supply and reduce long-term dependence on imported food.

A National Food Security Strategy is also in development, focusing on unit price labeling, stronger competition oversight, and long-term affordability.

Why This Matters for Newcomers

From ImmigCanada’s perspective, affordability initiatives directly influence settlement outcomes. Newcomers working with a certified Canadian immigration consultant often ask whether Canada remains financially viable long-term. Policies like these help answer that question.

Immigration professionals such as Eivy Joy Quito consistently highlight that economic stability is a key factor in successful integration, especially for families and skilled workers. Canada’s new affordability measures reflect a broader effort to strengthen household stability while reinforcing domestic food systems. For newcomers and future immigrants, these policies add reassurance during uncertain economic times. ImmigCanada immigration consulting services continues to monitor how economic reforms intersect with immigration planning, helping clients make informed decisions with guidance from the best RCIC in Canada.