Community News & Updates

FALL ECONOMIC STATEMENT MISSES THE MARK: POLITICAL UPHEAVAL AND NEW SPENDING IGNORE URGENT NEEDS OF PEOPLE WITH DISABILITIES

TORONTO, ON - On a day of political upheaval in Ottawa, the federal government yesterday released its Fall Economic Statement (FES) with new priorities and new spending—but no meaningful progress to lift people with disabilities out of poverty. Inclusion Canada is deeply disappointed that, despite Minister Chrystia Freeland’s resignation and clear signs of an economic pivot, this government continues to neglect the urgent needs of Canadians with disabilities.

The FES revealed a projected $61.9 billion deficit and more than $20 billion in new spending, yet fails to commit to an increase in the Canada Disability Benefit (CDB). Instead, the government’s promise to “lift people with disabilities out of poverty” remains hollow, with eligible individuals still facing a meagre $200 per month—just $6.66 per day. Even as the CDB’s tax-exempt status is confirmed, without a meaningful increase, people with intellectual disabilities remain trapped below the poverty line.

“In the midst of political turmoil and billions earmarked for border security, corporate incentives, and a GST holiday, the government has once again left people with disabilities behind,” said Krista Carr, CEO of Inclusion Canada. “Chrystia Freeland’s shock resignation underscored tensions over economic direction, yet the FES still delivers no real plan to ensure financial security for people with disabilities. We cannot address productivity or competitiveness on the backs of those most in need.”

While confirming the CDB’s tax-exempt status, the FES refuses to raise benefit levels to bring people with disabilities above the poverty line. Inclusion Canada’s and the disability community’s call for a fully funded benefit of at least $2,400 per month has been ignored.

There are some positive measures announced in yesterday’s FES;

·    Tax Exemption for the CDB: Ensuring the CDB is not taxed is a step in the right direction. As a result of being tax exempt, it will not have to be reported as income which should prevent a reduction to other federal programs individuals receive (ie. Canada Child Benefit, GST Credit, Canada Workers Benefit). Although a positive measure, it falls short without a significant increase in the benefit amount for the CDB.

·    Automatic Income Tax Filing – commitment to introduce legislation to automatically file tax returns for lower-income Canadians beginning in the 2025 tax year will reduce barriers to access important income support programs for people with disabilities.

·    Support for Personal Support Workers (PSWs): Improving conditions for PSWs is welcome news that can enhance quality of support for people with disabilities. However, without robust income support for those receiving that support, this measure will fall short.

·    Focus on Inclusion and Accessibility: References to diversity, inclusion, and intersectionality are encouraging. Yet these words must be matched by funding and policies that directly improve the daily lives of people with disabilities.

“Monday’s chaotic events on Parliament Hill highlight the government’s uncertain economic path,” said Moira Wilson, President of Inclusion Canada. “It is unacceptable to see the government commit billions to various initiatives, while people with disabilities remain left behind and stuck in poverty. We must see real, measurable progress that puts people with disabilities at the centre of Canada’s economic narrative.”

A Call for Meaningful Action in 2025: Inclusion Canada calls on the government to use the upcoming 2025 federal budget to:

·    Fully fund the Canada Disability Benefit at a level that ensures dignity, equity, and a path out of poverty.

·    End funding for congregate housing, investing instead in community-based, dispersed, inclusive housing solutions.

·    Embed accountability measures in childcare agreements to guarantee inclusive early learning and childcare.

·    Invest further in inclusive employment initiatives like Ready, Willing, and Able (RWA), helping people with intellectual disabilities secure real jobs at competitive wages.

·    Invest in the capacity of disability organizations, empowering them to advance inclusion and human rights.

“In the wake of Minister Freeland’s resignation, the government must prove it will prioritize people with disabilities,” added Carr. “It’s time for a bold, consistent vision that recognizes investing in disability inclusion is a moral and economic necessity. We won’t stop fighting until every person with an intellectual disability can live with dignity, full inclusion, and opportunity.”