‘We’re walking a tightrope’: Thousands of Islanders to get relief payments as bills pile up

The ‘Canada Grocery and Essentials Benefit’ is being rolled out today to help face the rising cost of living for many Canadians. Maria Sarrouh reports.

CHARLOTTETOWN - Tens of thousands of Islanders will soon receive new affordability payments, as grocery bills and other household costs continue to put pressure on people across P.E.I.

About 95,000 individuals and couples qualify for the province’s new Island Essentials Benefit, which will be delivered through the Canada Revenue Agency. The annual amount ranges from $175 to $365, based on income and family status, with the payment schedule tied to how much someone qualifies for.

Outside a grocery store in Charlottetown, Louise Smith said prices are “outrageously high.”

“Both my husband and I have to work to be able to eat and pay our bills,” she said.

Jeffin Karukaparambil Baby echoed the sentiment.

“(We’re) walking a tightrope,” he said. “It’s not just groceries. It’s the fuel price. Electricity.”

Affordability is one of the biggest concerns facing Islanders, Premier Rob Lantz said at a news conference this week.

“Families are feeling it every time they buy groceries. They’re feeling it when they pay their mortgage. They’re feeling it when they fill up their vehicle or when they open up their power bill,” he said.

That’s despite more Islanders working than ever before, and weekly earnings continuing to grow, Lantz added.

“This is an issue across the country as costs continue to rise for Canadians,” he said, noting businesses are strained too, through higher operating costs, rising prices and continued uncertainty.

About 82,000 recipients are expected to receive their first instalment Friday. The group includes single Islanders with a net income of up to $126,000 and couples or single parents with a net income of up to $131,500.

Further payments will be made in October and November to people who qualify for different benefit amounts, including those with higher incomes.

In the spring, P.E.I. tabled the largest budget deficit in the province’s history, which Lantz defended by saying it was not the time to pull back from supporting Islanders.

Finance Minister Jill Burridge said the total budgeted for the benefit is $26 million this year, a number expected to rise to $28 million in 2026.

She added that no one needs to apply. P.E.I. residents who are 19 or older and file a 2025 tax return will receive the benefit automatically if they qualify.

“It’s that simple,” Burridge said. “It’s that accessible by design.”

The provincial rollout begins the same day Ottawa starts issuing payments under the renamed Canada Groceries and Essentials Benefit, which replaces the GST/HST credit.

For some Islanders, the support could stack.

“Depending on how much you get, it’s hard to make a little bit go a long way these days, but I think anything helps for sure,” said Regan Bates, after shopping.