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Federal government to introduce grocery rebate: sources

Posted on: Jan 26, 2026 09:04 IST | Posted by: Cbc
Federal government to introduce grocery rebate: sources

ground government minister german mark Carney is go under to denote an increase to the GST credit on Monday, as part of a larger suite of affordability measures intended to offset the rising cost of groceries.

Two senior government sources speaking on the condition they not be named say that quarterly GST payments will increase by 25 per cent over the next five years, and the measure is expected to affect approximately 12 million Canadians.

It will also include a one-time top-up of 50 per cent in June. The program will be called the “Groceries and Essentials Benefit.”

The move comes as Carney faces pressure from the opposition to address grocery prices, which are outpacing other forms of inflation.

Federal estimates suggest that the one-time top up, plus the quarterly 25 per cent top up, could mean an additional $400 this calendar year for a low-income single person and $800 this year for a couple with two children.

The top-up to the GST credit was first reported by the Toronto Star. Other affordability measures announced on Monday are expected to include structural elements in Canada’s food supply chain and competition landscape.

The prime minister is set to make this announcement in Ottawa on Monday morning before travelling to meet with Ontario Premier Doug Ford in the afternoon.

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