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February 18, 2003
A Historic Day for Child Care
It is a historic day for Canada's children and families. The Government of Canada has at long last stepped up to the plate on the child care issue and recognized the absolute necessity of committing funds to child care. Its announcement of $935-million over five years for quality child care spaces and improved child care and pre-school services, is a good first step.
The federal government is showing leadership which will benefit parents and children alike. Seventy percent of women with pre-school-age children are working outside of the home in Canada, yet only 12% of children have access to licensed care. Moreover, research clearly shows that quality early education and care programs make a positive difference in the growth and development of children, especially those from low-income families.
"We are very happy about this announcement but we are concerned that a mere $25-million has been allocated for the first year. Given that Quebec alone spent $1.1 billion on child care in 2001, and that the overall price tag for a quality, national child care system is estimated at $10 billion, we can only hope that all governments will be committed to increasing their support to child care in the years to come," said Marcel Lauzière, President of the Canadian Council on Social Development (CCSD).
National Child Benefit
The CCSD is also encouraged by the latest increase to the National Child Benefit (NCB). The NCB has provided financial assistance to low-income families in Canada, but for far too long, has not reached many of Canada's poorest children – an estimated 700,000 in 2000 – who live in families that rely on social assistance. These children have been losing ground, as the value of welfare benefits to these families have fallen by 23% since 1991, and in most provinces, the NCB has been clawed back.
With the budget announcement, the value of the combined Canada Child Tax Benefit will fully replace child benefits under social assistance. For the first time, children in Canada's poorest families should see an increase to their families' incomes.
"Their work isn't done on the child tax front," said Katherine Scott, Senior Policy Associate for the CCSD. "The federal government must continue to make new and substantial investments in the Canada Child Tax Benefit, including the NCB. The benefit needs to reach at least $4,200 a child before we will see a significant reduction in the rate and depth of child poverty in Canada."
Housing
The 2003 budget also addressed one of the greatest needs of many Canadians, that of affordable housing. An estimated 200,000 Canadians are homeless and 1.7 million families are in core housing need.
"The budget commitment of $320 million over five years will be insufficient to build the number of housing units estimated to be necessary, but at least it recognizes there is a problem that cannot be ignored," said Lauzière. "We also welcome the $270 million allocated to fighting homelessness through an extension of the Supporting Communities Partnerships Initiative."
The 2003 federal budget represents the first truly activist budget of the Chrétien era: the new investments in Canada's families will begin to counter the growing gap between rich and poor.
"Families lost significant ground during the deficit cutting years of the 1990s - we hope that this budget will mark the beginning of a more generous era, one which will allow all Canadians to share in our country's economic prosperity," said Lauzière.
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Canadian Council on Social Development,
190 O'Connor Street, Suite 100,
Ottawa, Ontario, K2P 2R3
Tel: (613) 236-8977, Fax: (613) 236-2750, Web: www.ccsd.ca, Email: council@ccsd.ca
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