Today, the Ontario government made an important announcement that guarantees the Canada Disability Benefit (CDB) — a new federal benefit to support persons with disabilities ages 18-64 — will supplement, not replace desperately needed provincial supports. The province is exempting the CDB as income, ensuring that recipients of the Ontario Disability Support Program (ODSP), Ontario Works (OW), and the Assistance for Children with Severe Disabilities (ACSD) program can receive this benefit without seeing a reduction in their existing provincial supports.
“In a time of unprecedented economic uncertainty brought on by U.S. tariffs and trade barriers, our government is taking action to keep costs down and protect Ontario families,” said Michael Parsa, Minister of Children, Community and Social Services, in a press release.
Daily Bread Food Bank has long been an advocate for this change, calling loudly for a CDB that is adequate, accessible and free from clawbacks. We applaud this move by the Ontario government, without which thousands of Ontarians with disabilities would have had their social assistance benefits clawed back, leaving them no better off.
“With 1 in 4 food bank clients in Toronto reporting a disability, today’s announcement will help reduce food insecurity for some of our most vulnerable Ontarians as they navigate through the uncertain economic times ahead,” said Neil Hetherington, CEO, Daily Bread Food Bank.
It’s a step that recognizes a harsh reality. Not only do 25% of Toronto food bank clients report having a disability; 29% say they rely on social assistance as their primary source of income (Who’s Hungry 2024). A recent report by Public Health Ontario and Ontario Dietitians in Public Health found that households relying on social assistance experience the highest levels of food insecurity in Canada.
This is more than a poverty crisis. It’s a public health emergency.
To maximize the CDB’s impact, the federal government must follow suit. Currently, the CDB is considered taxable income. While some social assistance programs exempt certain unearned income, others may reduce benefits dollar-for-dollar when the CDB is received—undermining the purpose of the benefit and leaving some recipients no better off.
The 2024 Federal Fall Economic Statement proposed exempting CDB under the Income Tax Act, but this legislative change has not been made. With the first CDB payments scheduled for July, this change cannot wait for the next federal budget, which isn’t expected until later this year.
Canadians are already struggling with the cost of living, and those living with disabilities are disproportionately affected:
In addition to the immediate legislative change needed to ensure there are no clawbacks, the CDB must be strengthened to achieve its purpose of lifting people living with disabilities in Canada out of poverty. We urge the federal government to:
We need change now. This National AccessAbility Week (May 25-31), we’re calling on the federal government to ensure the Canada Disability Benefit is adequate, accessible, and exempted from clawbacks—nationwide.
Join our call! Use our online tool to contact your elected officials and demand the changes that will deliver the benefit all Canadians with disabilities deserve.
Together, we can build a Canada where everyone can live with dignity.
