N.L. adds more money to income support programs through poverty reduction plan

Newfoundland and Labrador is ushering in a few new changes as part of its poverty reduction plan, aimed at improving the well-being of its residents.

The three-year plan, introduced in 2023, uses recommendations made in the Health Accord. It's expected to grow to $85 million in annual funding after the three-year period.

The newest updates include increasing monthly income support by September. Eligible adults will receive the same monthly individual benefit amount, regardless of living arrangements. That means two adults living together will get $561 each per month.

There's also improved housing support. All eligible one-adult households will receive a maximum amount of $522 per month — an increase of $223 — and two eligible adults living together will receive $299 each, regardless of their relationship.

Coming in August is money to support parents who are sending their kids back to school. Parents will get $100 per school-aged-child to help with school-related expenses.

Danielle Seward, executive director of the Single Parent Association of Newfoundland and Labrador, said that money is a game changer for some parents.

"September tends to be an incredibly stressful time for single-parent families," she said. "One-hundred dollars may not go as far as what it did years ago, but it's $100 more than what we saw last year."

Lastly, the province is enhancing its vision care benefits. The province will cover the cost of a basic eye exam, up to $100, and eyeglasses, $290 for single vision and $350 for bifocals.

"These changes are about more than just numbers. They're about giving people real choices, dignity, and a better shot at succeeding," said Families and Affordability Minister Jamie Korab.

But PC Leader Tony Wakeham said that while additional money for those on income support is always welcomed news, what is really needed is a longer-term strategy. 

"Something that has a ten-year plan, that has targeted measures, that we can actually measure our success and [shows] what we're doing is actually working," he said. 

Wakeham said he's glad to see that people on income support will not be losing benefits anymore when they decide to live with someone else, and the $100 payment to parents to help with school supplies. 

NDP Leader Jim Dinn, meanwhile, says the changes fall short. 

"I have to question how they landed on these changes," Dinn said in a statement, released shortly after the government's announcement. 

"Adjusting the monthly support so that individuals living together don't see their payments reduced is a positive step, and one that was long overdue. But let's be clear: this change alone will not lift people out of poverty. The support amount remains far below a livable income."

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