Putting commitment into action: How social protections can make Canada strong for all

Written submission for the pre-budget consultations in advance of the 2026 federal budget

The federal government is investing in Canada’s economic growth through significant capital investments, with the goal of “building Canada strong for all.” While we applaud these efforts, without equal attention to social protections – especially income support for people in deepest need – the benefits of economic growth will only go to the wealthy.

For example, the new housing-enabling infrastructure stream in the Build Communities Strong Fund is rightly focused on projects that support and enable housing supply, such as roads, bridges, and public transit. Though they are necessary, it is also important to recognize that physical infrastructure projects can take years or even decades to be completed. In the meantime, tens of thousands of people across Canada need support now to be able to afford the necessities of a dignified life, including housing.

Allowing our system of social protections to perpetuate poverty and homelessness constitutes both a moral failure and an economic mistake. Investments in a more equitable society boost inclusive long-term economic growth, but the government’s fixation on “balancing the operating budget” is akin to declaring that the only investments worth making are ones that support things, not people.

In Budget 2026, Maytree recommends that the government put its commitment to build Canada strong for all Canadians – including those in deepest housing and income need – into action. To make this commitment a reality, policies should focus on improving supports for people with the lowest incomes, reducing barriers to accessing these supports, and setting up rights-based mechanisms to measure progress.

Maytree’s recommendations

Improve support for people facing the greatest affordability challenges

Recommendation 1: Work with provinces and territories to create a new Canada Housing Benefit System.

Recommendation 2: Increase and expand targeted income supports, such as the Canada Groceries and Essentials Benefit and the Canada Disability Benefit.

Recommendation 3: Ensure that the government’s next national housing strategy continues to focus on people in deepest housing need.

Reduce barriers to accessing support

Recommendation 4: Expand eligibility for automatic tax filing so that more people with low incomes receive the benefits to which they are entitled.

Recommendation 5: Replace the restrictive Disability Tax Credit (DTC) disability definition with a new broader definition and grant automatic DTC eligibility to individuals receiving disability benefits through social assistance.

Recommendation 6: Address DTC access barriers through an overhaul of the application process and related supports.

Take accountability for advancing human rights

Recommendation 7: Align the next national housing strategy with the federal National Housing Strategy Act, 2019.

Recommendation 8: Recommit to, and explore ways to strengthen, the federal plan to reduce poverty as set out in Canada’s Poverty Reduction Strategy.