Parents across Canada will see an increase in the Canada Child Benefit (CCB) this month, as the monthly payment is indexed to inflation and receives its annual boost. The CCB, which is recalculated every July based on the net family income from the previous year, is experiencing a 6.3% increase this year. Families can now receive up to $7,437 per child under the age of six and up to $6,275 per child aged six through 17.
Prime Minister Justin Trudeau highlighted the CCB as a vital way the government is supporting Canadian families in coping with the rising cost of living. He emphasized how the benefit has been instrumental in lifting children out of poverty since its implementation seven years ago. Trudeau also mentioned the positive impact of the CCB on families, providing them with hundreds of dollars tax-free every month to help meet the high costs of raising kids.
Statistics from the federal government indicate that approximately 653,000 fewer children were living in poverty in 2021 compared to when the Liberals came to power in 2015, and when the CCB was introduced in 2016. Data from Statistics Canada’s 2021 census further supports this trend, showing a significant decline in poverty levels among all age groups, especially children, with poverty rates dropping to less than half of the 2015 levels for all children under 18.
Canada’s inflation rate, which had reached a peak of 8.1% at the same time last year, has since fallen to 2.8% in June. Prime Minister Trudeau has praised the CCB, along with other benefits like dental, grocery, and rental support, as effective measures in addressing the impact of record-setting inflation over the past year.
Despite the pre-planned increase in the CCB, the federal Liberals have faced criticism, particularly from the Conservative Party, for their continued spending during a time of high inflation.
Families, Children, and Social Development Minister Karina Gould also marked the seven-year anniversary of the CCB, describing it as one of the most significant programs introduced by the government. Gould emphasized how the CCB has been instrumental in assisting Canadian families in raising children under 18 years of age, thereby contributing to their well-being and supporting economic growth.
Eligible families can calculate their CCB using an online calculation sheet provided by the federal government. The payment is administered through the Canada Revenue Agency.