How much would it cost to end poverty in Canada?

How much would it cost to end poverty in Canada?

A recent study in British Columbia found that developing and implementing a poverty reduction plan would cost the government $3–4 billion per year—a stunning sum when you consider that doing nothing to alleviate poverty costs the province $8.1–9.2 billion per year. The report also estimated that moving 100,000 people out of poverty would cost $113 million.

The study was conducted by the BC Poverty Reduction Coalition, an alliance of more than 70 organizations, including social justice, health, education, labor, faith-based, environmental, immigrant's and disability rights groups. It was released just weeks after the BC Liberal Party's election platform was revealed, which included a promise to eliminate poverty within a single term of office if elected again. The party has not yet indicated what specific measures it will take to reach this goal.

In a statement announcing the release of the study, coalition member Organizations Against Poverty (OAP) said, "We are deeply concerned that if the BC Liberals are re-elected next week they will continue down the path of neglecting poverty issues while cutting taxes for the rich."

The report makes several important recommendations with respect to fighting poverty in BC. It calls on the provincial government to: increase annual funding for social assistance by 10 percent; strengthen income security systems such as the Employment Insurance program and the Child Tax Benefit; improve access to affordable housing; and expand access to healthy food for all.

How does poverty affect the economy in Canada?

Poverty costs us at least $10.4 billion to $13.1 billion every year, which equates to 10.8 to 16.6 percent of the provincial budget. Every home in Ontario pays a price for poverty. Poverty costs every household in the province between $2,299 and $2,895 per year in actual terms.

The number of people living in poverty in Canada is significant. In 2016, 19.2 million Canadians were found to be living below the poverty line, including 7.0 million children. This amounts to 5.4 percent of the population or 1 in 20 Canadians.

Canada has the third highest rate of childhood poverty among OECD countries, after Mexico and New Zealand. One in five Canadian kids live in poverty. There are differences across the country, with less wealth being generated in certain regions such as Quebec where one out of every four children lives below the poverty line. However, there are also differences within provinces like British Columbia where more than one in three kids live in poverty.

Income inequality in Canada is increasing, particularly among women. The poorest tenth of households saw their income decline by 6.5 percent between 2003 and 2011, while the wealthiest tenth experienced an increase in income of almost 20 percent.

Poor health affects how much money individuals can earn. If you look only at sick leave, employers save about $15 billion a year due to poor health.

How many families today in Canada are living below the poverty line?

The data below depict the present state of poverty in Canada. One in every seven Canadians (or 4.9 million) lives in poverty. One in every eight Edmontonians is now impoverished. Every year, poverty costs Canada billions of dollars. It limits people's choices and their ability to improve their situation.

Here are the facts: In 2015, 16.4% of Canadians were living below the poverty line. That was up from 14.7% in 2014. Poverty rates were highest in Alberta and Newfoundland and Labrador. They ranged from 19.1% to 20.3%. By comparison, 6.0% of Canadians were living in poverty in 1975.

Women, children, and individuals with a disability are most likely to live in poverty. Two out of three poor families include at least one child under 18 years old. About 1 in 5 Canadian children lives in a family that is poor enough to be considered low income.

In addition, evidence shows that poverty tends to have a negative impact on all our health indicators, including mental health. Poor nutrition, lack of exercise, limited access to safe environments, and stress can all contribute to lower life expectancy for those who are poor.

There are several factors that can lead households to fall into poverty. If a household member dies, then other members may have to change their habits or reduce their spending to avoid debt.

About Article Author

Catherine Lewis

Catherine Lewis has been a journalist for over 15 years. She's covered everything from crime to politics to pop culture. She's got the ability to tell a story in a way that's engaging and easy to understand, which helps her readers get the information they need without feeling bored or overloaded with information.

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