Ottawa, Ontario — January 26, 2026
Prime Minister Mark Carney has announced new federal measures to help Canadians afford groceries and other everyday essentials, as many families continue to feel the pressure of rising costs.
A key part of this plan is the new Canada Groceries and Essentials Benefit, which replaces the former GST Credit. Starting in July 2026, the benefit will increase by 25% for five years. Eligible Canadians will also receive a one-time extra payment equal to a 50% increase in the first year.
This means:
- A family of four could receive up to $1,890 in 2026, and about $1,400 each year for the next four years.
- A single person could receive up to $950 in 2026, and about $700 per year after that.
More than 12 million Canadians are expected to benefit from this support.
The government is also taking steps to keep food prices down by helping businesses manage rising costs. It is investing $500 million to support supply chains, so businesses are not forced to pass extra costs on to consumers. An additional $150 million Food Security Fund will support small and medium-sized businesses and food organizations.
To support Canadian food production, the government will allow farmers and producers to fully write off new greenhouse investments made after November 4, 2025. This is expected to increase food grown in Canada and help lower costs over time.
For Canadians who need help right now, the government is investing $20 million more in the Local Food Infrastructure Fund, which supports food banks and community food programs across the country.
Prime Minister Carney also announced work is underway on a National Food Security Strategy, focused on improving access to affordable, nutritious food, strengthening competition in the grocery sector, and introducing clearer unit price labels to help consumers compare prices.
“These measures are about helping Canadians today while building a stronger, more affordable economy for the future,” the Prime Minister said.