Carney Announces New Tax Benefit and Measures Aimed at Lowering Grocery Costs

Prime Minister Mark Carney is seen during an event at a grocery store in Ottawa on Jan. 26, 2026. The Canadian Press/Adrian WyldPrime Minister Mark Carney has announced a 25 percent increase to the GST credit and a list of measures that he says will aid lower-income consumers in coping with the steep costs of groceries.The new credit, dubbed the Canada Groceries and Essentials Benefit, will be sent out to approximately 12 million eligible Canadians for the next five years beginning in July. The 25 percent GST credit boost comes with an additional one-time payment this year worth 50 percent of the credit, according to a Jan. 26 announcement from the Prime Minister’s Office (PMO).