TORONTO – Ontario plans to spend billions to fight the COVID-19 pandemic, help small businesses and support families.
The province has unveiled a $186.1-billion budget that also shows a $33.1 billion deficit, which the government says will take until 2029 to eliminate.
The spending plan contains $6.7 billion for pandemic-related measures, including $1 billion for the vaccine effort, and $2.3 billion for testing and contact tracing this year.
The government says it will offer a second round of grants to small businesses to assist with pandemic expenses and create a new job training tax credit.
It will also offer a third round of payments to families with children through the Ontario COVID-19 Child Benefit, doubling it to $400 per child and $500 for each child with special needs.
The budget also contains an additional $1.8 billion for hospitals and $650 million more for long-term care this year to address demands placed on both sectors by the pandemic.
Highlights of Ontario’s plan to defeat COVID-19:
- To vaccinate every person in the province who wants to be vaccinated, Ontario has made more than $1 billion available for a provincewide vaccination plan. Ontario is also making it safer to re-engage with workplaces, businesses and communities with $2.3 billion for testing and contact tracing.
- To protect the frontline heroes and vulnerable people, Ontario has made available
$1.4 billion for personal protective equipment, including more than 315 million masks and more than 1.2 billion gloves. - To ensure that every person who requires care in a hospital can access a bed, even during the worst of the pandemic, the government is investing an additional $5.1 billion to support hospitals since the pandemic began, creating more than 3,100 additional hospital beds. This includes $1.8 billion in 2021–22 to continue providing care for COVID-19 patients, address surgical backlogs and keep pace with patient needs.
Highlights of Ontario’s plan to fix long-term care:
- To address decades of neglect and help those waiting to get into long-term care, Ontario is investing an additional $933 million over four years, for a total of $2.6 billion, to support building 30,000 new long-term care beds. Ontario is also investing $246 million over the next four years to improve living conditions in existing homes, including ensuring that homes have air conditioning for residents, so loved ones can live in comfort and with safety, dignity and respect.
- To protect loved ones in long-term care from the deadly COVID-19 virus, Ontario is investing an additional $650 million in 2021–22, bringing the total resources invested since the beginning of the pandemic to protect the most vulnerable to over $2 billion.
- To ensure loved ones receive the best quality care in Canada, Ontario is investing
$4.9 billion over four years to increase the average direct daily care to four hours a day in
long-term care and hiring more than 27,000 new positions, including personal support workers (PSWs) and nurses.
Highlights of Ontario’s plan to care for people:
- To address the need for more health care services, Ontario is making investments to support historic hospital expansion and construction projects, including a new inpatient wing at William Osler Health System’s Peel Memorial, and ongoing planning of a new regional hospital in Windsor-Essex.
- To help the thousands of people struggling with mental health and addictions issues, Ontario is providing additional funding of $175 million in 2021–22 as part of a historic investment of $3.8 billion over 10 years, to provide more and better care for everyone who needs it.
Highlights of Ontario’s plan to support workers and families:
- To help workers with their training expenses, the government is proposing a new Ontario Jobs Training Tax Credit for 2021. It would provide up to $2,000 per recipient for 50 per cent of eligible expenses, for a total of an estimated $260 million in support to about 230,000 people in 2021.
- To help families — who have faced new pressures and expenses due to the pandemic — keep more money in their pockets, the government is providing a third round of payments to support parents through the Ontario COVID-19 Child Benefit, totalling $1.8 billion since last March. The payment will be doubled to $400 per child for this round and $500 for each child with special needs, which means a family with three young children, one of whom has special needs, will receive $2,600 in total after the third round of payments.
- To support parents with the cost of child care and help them get back to the workforce, the government is proposing a 20 per cent enhancement of the CARE tax credit for 2021. This would increase support from $1,250 to $1,500, on average, providing about
$75 million in additional support for the child care expenses of over 300,000 families.
Highlights of Ontario’s plan to support jobs:
- To help small businesses that have been most affected by the necessary restrictions to protect people from COVID-19, Ontario is providing a second round of Ontario Small Business Support Grant payments to eligible recipients. Approximately 120,000 small businesses will automatically benefit from an additional $1.7 billion in relief through this second round of support in the form of grants of a minimum of $10,000 and up to $20,000 — bringing the estimated total support provided through this grant to $3.4 billion.
- To support Ontario’s tourism, hospitality and culture industries that have been among the most heavily impacted by the COVID-19 pandemic, Ontario is investing an additional $400 million over the next three years in new initiatives to support these sectors. This builds on previously announced investments of $225 million, bringing the total to more than $625 million since the pandemic began.
- To connect homes, businesses and communities to broadband — which COVID-19 has demonstrated is a necessity, not a luxury — Ontario is investing $2.8 billion, bringing the Province’s total investment to nearly $4 billion over six years beginning 2019–20.
Highlights of Ontario’s plan to support communities:
- To support faith-based and cultural organizations that are struggling due to the additional costs caused by COVID-19, Ontario will be making up to $50 million available for grants to eligible organizations.
- To support Ontario’s 444 municipalities, the Province’s key partners in the fight against COVID-19, the government is providing almost $1 billion in additional financial relief in 2021 to help preserve vital public services and support economic recovery.
