Calls to Action: Canada Disability Benefit Draft Regulations

Make the CDB What it was Meant to Be!

Did you know that an estimated 16.8% of people with a disability in Canada live in poverty, compared to 9.3% of people without a disability? 

When the federal government passed legislation to create the Canada Disability Benefit (CDB), there was a lot of talk about lifting people with disabilities out of poverty. The legislation also specifically mentions Canada’s human rights obligations to people with disabilities and its aspirations to be a leader in eradicating poverty, consistent with the Sustainable Development Goals.

But the draft regulations released this past June fall far short of creating a just and equitable CDB. We now have a short window of opportunity to share our feedback.

The deadline for responses to the draft regulations is September 23.

Join CPJ and partners across the country in helping make the CDB what it was meant to be-a benefit that truly lifts people with disabilities out of poverty!

Two ways to make the CDB what it was meant to be:

What feedback should I focus on?

While there are many details in the draft regulations that CPJ and partners are responding to, our key messages focus on the adequacy and accessibility of the CDB:

The amount currently budgeted is impairing the development of an adequate, accessible, and equitable CDB. Decisions about how eligibility will be defined, how the amount of the benefit will be calculated, and even how far back people will be required to repay “overpayments” due to government error are being limited by the small envelope of funding available. Although this has been referred to as a “starting point,” the draft regulations have been designed to fit within this limited budget. This will have long-reaching consequences even if the amount of the benefit is increased later on.

Similar to other federal income supports like the Canada Child Benefit and the Guaranteed Income Supplement, the CDB should be exempt from provincial and territorial clawbacks and should not be used in the calculation of Adjusted Family Net Income (AFNI). Designing the CDB as a refundable tax credit will prevent people from losing other federal, provincial and territorial benefits including rent supplements and child benefits, or having them reduced. Current welfare amounts are so low, that even if a person or household is receiving the maximum amount of all available provincial/territorial and federal benefits, they will still be left in poverty.* Income supports must be designed to work together to improve people’s lives, not be clawed back or reduced because of interactions among benefits.

*Welfare in Canada, 2023. Maytree Foundation.

The current draft regulations require people to have a Disability Tax Credit (DTC) certificate and have filed their previous year’s taxes and complete another application for the CDB. While this is expedient for the federal government, it is an expensive and inaccessible process for people with disabilities. There are many longstanding critiques and calls for reform of the DTC, with estimates that only 40% of working-aged adults with severe disabilities in 2018 had approved DTC certificates.* Critiques include the narrow definition of disability used by the DTC (which does not match the definition used in the CDB legislation) and the expense and complexity of the application process, which includes multiple steps for applicants and medical practitioners to complete. If this is to be the gateway for the CDB, the DTC itself must be drastically reformed. In the interim, trusted community service providers should be funded to assist people navigate the application process, and applicants should be reimbursed fees charged by medical practitioners to complete the application forms. A better option altogether would be to allow applicants to attest to their eligibility using a variety of existing disability benefit programs.

*University of Calgary, School of Public Policy Publications, SPP Briefing Paper


Other ways you can get involved:


Background on the CDB Draft Regulations

On June 29th, the federal government released the proposed regulations for the new Canada Disability Benefit (CDB). This followed an announcement in the 2024 federal budget that $6.1 billion would be allocated for the CDB over the next six years, starting in 2025.

Unfortunately, the amount announced in the federal budget is far less than what is needed to make sure the CDB achieves its goal of lifting people with disabilities out of poverty. Worse still, this limited budget amount is now limiting the design and draft regulations of the CDB. The people tasked with writing the draft regulations have been told they must make sure the benefit fits within this budgeted amount. This means that even though the government is saying this budgeted amount is just a “starting point,” the regulations will already have been set. The amount people receive for the benefit could (and should) be increased in the future, but fundamental regulations about who is eligible, the application process, appeals processes, repayments, and delivery mechanisms are all being baked into the current draft regulations.

The draft regulations for the CDB are currently open for feedback until September 23, 2024

Information about the draft regulations:

  • Read the proposed Canada Disability Benefit Regulations and the Regulatory Impact Analysis Statement (i.e., the government’s rationale for the proposed regulations) on this page of the Canada Gazette. This is also the webpage where people can leave comments about specific sections of the draft regulations, or make a general comment about the draft regulations.
  • Frequently Asked Questions about the draft regulations with responses.
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