Close to one million Ontario residents with a disability live with poverty. The recent introduction of the Canada Disability Benefit (CDB), which will provide up to $2,400 annually to eligible applicants, was designed to help address this.
There are still barriers in the way of helping people with disabilities thrive, however. More action is needed.
In Ontario, the Ontario Disability Support Program (ODSP) provides financial support to help eligible people living with disabilities cover basic needs such as food, rent and healthcare. Nearly 500,000 people are receiving ODSP, and after a recent 2.8 per cent rate increase in July, a single person on ODSP now receives $1,408 monthly for basic needs.
At the federal level, the CDB was introduced in 2023 to support low-income working adults living with disabilities. The federal government committed $6.1 billion for the benefit in the 2024 budget. Starting in July, eligible applicants receive up to $2,400 annually, or $200 per month.
Recently, the Ontario government announced good news that the CDB will be exempt from income calculations for ODSP. This means ODSP recipients can access full benefits without penalty, as advocated by many in disability communities. While this is an important step in reducing poverty for Ontarians with a disability, there are still barriers to accessing the CDB and other disability benefits.
Eligibility for the CDB is based on eligibility for Canada’s Disability Tax Credit. This means people who are not currently receiving the tax credit will have to apply for it in order to access the CDB.
To be eligible for the tax credit, applicants must have their disability verified by their family doctor. Yet nearly six per cent of people living with disabilities in Ontario do not have a family doctor. Furthermore, those with family doctors may be charged fees for this assessment which puts a financial burden for those already living on limited income.
The DTC has also been criticized for excluding certain disability groups. For example, reports from Autism Canada and other disability groups across the country suggest people diagnosed with autism and intellectual disability have had their eligibility for the DTC revoked or denied. Data from the 2017 Canadian Survey on Disability further indicate that a majority (about 84 per cent) of participants with disabilities were not claiming the tax credit due to a complex, burdensome application process and unclear eligibility criteria.
Recent work by Wellesley Institute found thriving with a disability can cost up to 39 per cent more than thriving without a disability. Thriving with a disability includes adequate income, as well as the ability to be connected to the community, be physically active, learn new skills and meet one’s holistic health needs. Thriving can also mean the need for special diets, secure housing, accessibly transportation, and adequate healthcare. In Ontario, the total amount of ODSP plus the CDB, at $200 a month, is still far away from thriving.
The Ontario government’s decision to exempt the CDB from ODSP income calculations is welcome. However, there remains more work to do.
We urge the federal government to consider automatic registration in the CDB for people already receiving ODSP to make it more accessible. And at the same time, both levels of government should be working towards assessing the long-term impact of the CDB on poverty levels to ensure everyone with a disability can thrive.